Consumer Decision Making with Limited Information: Purchasing “Tech” Swimsuits

Abstract

Consumers are frequently involved in a purchase decision making process where they have limited information about the quality of the product being purchased. In such situations, consumers may resort to using a choice heuristic to simplify the decision making process. This paper discusses the situation where use of the anchor and adjustment heuristic may induce consumers to pay a high price for a product, based on using a high priced, high quality product as the anchor, and implications for marketers