Comments on: The Endowment Effect http://particletree.com/notebook/the-endowment-effect/ Everyone needs a hug. Fri, 25 Jul 2008 12:36:46 +0000 http://wordpress.org/?v=2.5.1 By: Elad http://particletree.com/notebook/the-endowment-effect/#comment-22082 Elad Tue, 14 Aug 2007 08:09:13 +0000 http://particletree.com/notebook/the-endowment-effect/#comment-22082 <p>There are two strategies that can be used to counter this effect: 1. Build something entirely new - so people can't place value on the thing they own already, because they don't own anything like what you're offering. Of course, you'll have to offer something that's both new <i>and extremely</i> useful for enough people to decide to try it, but that's another story. 2. One-up the competition, but do that at the core feature of the product, the one that actually causes people to use it. Google wasn't the first search engine, but it did search so much better.</p> There are two strategies that can be used to counter this effect: 1. Build something entirely new - so people can’t place value on the thing they own already, because they don’t own anything like what you’re offering. Of course, you’ll have to offer something that’s both new and extremely useful for enough people to decide to try it, but that’s another story. 2. One-up the competition, but do that at the core feature of the product, the one that actually causes people to use it. Google wasn’t the first search engine, but it did search so much better.

]]> By: Shanti http://particletree.com/notebook/the-endowment-effect/#comment-22075 Shanti Mon, 13 Aug 2007 18:44:27 +0000 http://particletree.com/notebook/the-endowment-effect/#comment-22075 <p>This reminds me of a conversation I had in college once, re: this awesome teeny tiny red t-shirt that said "Bally Boy" on it. It was classic.</p> <p>One of my floormates liked it as well and I jokingly said I'd sell it to him for $10. (which I would, actually) And of course some smart ass, being serious I think, chimes in that I should just give it to him. People are always saying this kinds of stuff but when it comes to their own property -- forget about it!</p> This reminds me of a conversation I had in college once, re: this awesome teeny tiny red t-shirt that said “Bally Boy” on it. It was classic.

One of my floormates liked it as well and I jokingly said I’d sell it to him for $10. (which I would, actually) And of course some smart ass, being serious I think, chimes in that I should just give it to him. People are always saying this kinds of stuff but when it comes to their own property — forget about it!

]]> By: star http://particletree.com/notebook/the-endowment-effect/#comment-22074 star Mon, 13 Aug 2007 17:46:08 +0000 http://particletree.com/notebook/the-endowment-effect/#comment-22074 <p>Agree with you.</p> Agree with you.

]]> By: Joe Rawlinson http://particletree.com/notebook/the-endowment-effect/#comment-22071 Joe Rawlinson Mon, 13 Aug 2007 14:40:56 +0000 http://particletree.com/notebook/the-endowment-effect/#comment-22071 <p>Great points Chris. Just because we build it doesn't mean the customers will start buying. The Blue Ocean strategy is a wise one because you are essentially creating a market where there wasn't one before. Your potential customers are thus less likely to have to ditch their current product or service in favor of yours.</p> Great points Chris. Just because we build it doesn’t mean the customers will start buying. The Blue Ocean strategy is a wise one because you are essentially creating a market where there wasn’t one before. Your potential customers are thus less likely to have to ditch their current product or service in favor of yours.

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