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THE PARADOX OF CHOICE. Barry Schwartz Collaborators Andrew Ward Sonja Lyubomirsky Katherine White Darrin Lehman John Monterosso Jane Gillham Jamin Halberstadt Sheena Sethi-Iyengar. This Talk. Choice and satisfaction. This Talk. Choice and satisfaction
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THE PARADOX OF CHOICE Barry Schwartz Collaborators Andrew Ward Sonja Lyubomirsky Katherine White Darrin Lehman John Monterosso Jane Gillham Jamin Halberstadt Sheena Sethi-Iyengar
This Talk • Choice and satisfaction
This Talk • Choice and satisfaction • Freedom, choice, wealth, and welfare
This Talk • Choice and satisfaction • Freedom, choice, wealth, and welfare • What to do about food
285 Brands of Cookies 110 Televisions 230 Soups 75 Iced Teas 6.5 Million Stereo Systems!! 175 Salad Dressings 40 Toothpastes 275 Cereals 30 VCRs and 50 DVD Players
Phone service: Local, long distance, cellular
Health Care: Direct marketing of drugs “Patient autonomy”
Physical appearance: Botox Cosmetic Surgery
MAXIMIZING SATISFICING
Thus a paradox: Freedom of choice becomes tyranny of choice
Americans are richer than ever before Americans are sadder than ever before
Americans are richer than ever before Americans are sadder than ever before Why?
Americans are richer than ever before Americans are sadder than ever before Why? Too much choice is part of the answer
What Too Much Choice Does • Jams in a gourmet food store
What Too Much Choice Does • Jams in a gourmet food store • Chocolates in the laboratory
What Too Much Choice Does • Jams in a gourmet food store • Chocolates in the laboratory • Snacks, soft drinks and beer in convenience stores
What Too Much Choice Does • Jams in a gourmet food store • Chocolates in the laboratory • Snacks, soft drinks and beer in convenience stores • 401(k) participation in the workplace
With so much choice, people may do better… but they feel worse
Why Choice Makes People Miserable: 1. Regret and anticipated regret
Why Choice Makes People Miserable: 1. Regret and anticipated regret 2. Opportunity costs
Offer participants $2 or a good pen:75% choose pen Offer participants $2, or 1 good pen, or 2 cheaper pens: 45% choose either pen
Where to go on vacation? 1. Beaches of the Caribbean
Where to go on vacation? 1. Beaches of the Caribbean 2. Golf at Hilton Head
Where to go on vacation? 1. Beaches of the Caribbean 2. Golf at Hilton Head 3. Awesome power of the Rockies
Where to go on vacation? 1. Beaches of the Caribbean 2. Golf at Hilton Head 3. Awesome power of the Rockies 4. Culture of New York
Where to go on vacation? 1. Beaches of the Caribbean 2. Golf at Hilton Head 3. Awesome power of the Rockies 4. Culture of New York Choose your Number 1
Where to go on vacation? 1. Beaches of the Caribbean 2. Golf at Hilton Head 3. Awesome power of the Rockies 4. Culture of New York Choose your Number 1 Go, have a good time, but…
Why couldn’t I have found a place with beautiful beaches and great golf, and awesome power, and culture
The lesson of opportunity costs: The more options you offer, the less attractive each of them will seem
Why Choice Makes People Miserable: 1. Regret 2. Opportunity costs 3. Escalation of expectations
The lesson of expectations: What matters to satisfaction is whether experience meets expectations or not