Disparities that arise in one’s cognitive accounting

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As the readings for this module demonstrate, people value gains and losses differently under different scenarios. For example, contestants in a game show might choose a guaranteed $10 prize over a 50 percent chance of winning $20 despite the fact that the expected values are the same.

As a marketer, how might you frame certain decisions to benefit from the disparities that arise in one’s cognitive accounting?

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Disparities that arise in one’s cognitive accounting : how might you frame certain decisions to benefit from the disparities that arise in one’s cognitive accounting?

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