The relativity of values causes us to use money irrationally. I go to the supermarket to buy a $15 pen, and the clerk smiles and says, “You can buy this pen for $7 if you walk 5 minutes from here.” Then, most people walk five minutes and buy a $15 pen for $7. But if you want to buy a $1,000 jacket and the clerk smiles and says, “You can get a $992 jacket in five minutes from here,” most people simply buy the $1,000 jacket. Reasonably, walking for 5 minutes equals the effort, and the profit of $8 is the same. However, people might go to a store that sells pens cheaper, but not for the jacket, because the discount rate is too low. In other words, the relativity of comparing values makes us act irrationally. The pen’s discount rate is 55%, and the jacket’s is only 0.8%. Yet, the total amount is the same for all $8, and the effort to gain that profit is identical. Attitudes and misconceptions about consumption influence how we build wealth. - Joseph’s “just my thoughts”
In the early 2000s, “Dove” felt a decrease in sales and a deterioration in brand image. In 2004, Dove launched a campaign to improve its brand image. That was the Dove's Real Beauty Campaign. It was the portrait drawing event that evoked the greatest repercussion. A montage artist from the San Jose Police Department who couldn't see the model drew a portrait of a customer Dove, firstly, explained the impression of the customers themselves, and then secondly, explained by someone who saw them to the montage artist to draw their portraits. The portraits others saw and described were more beautiful than those they expressed themselves. “You are more beautiful than you think.” Yes, this is the truth. - Joseph’s “just my thoughts”