Consumers often overestimate the strength the relationship between price and quality, leading to an over-reliance on the price-quality heuristic.This is due to what phenomenon:
A)endowment effect
B)dominance effect
C)selecting thinking
D)framing effect
E)None of the above is correct.

Question

Quizplus · Accepted Answer

Selective thinking refers to the tendency to focus on information that confirms one's beliefs or expectations, such as assuming higher price equates to higher quality.

Consumers Often Overestimate the Strength the Relationship Between Price and Quality