Archive for the ‘PREDICTABLY IRRATIONAL’ Category
Making Money Ideas are Good for Employers with Employees but with Consequences
Questions
What about Employer vs. employee in the social norm and market norm
If you mix market (business) norms* with social norms**, what are the consequences.
Answer
If you are treating your employees in both worlds, and if you expect your employees to work harder because you’ve “befriended” them in addition to employing them, it works both ways.
Would you fire you best friend and sever all ties just because he or she got sick and used up all their sick leave and vacation time?
We would hope not.
Just remember that the social norm works on your actions towards your employees just as your employees work harder for you if you place them more in the social norm in their work situation.
Conclusion
The changes in the way you treat your customers or clients, whatever they are, whether they are in the social norm or in the market norm, work both ways.
You can get ahead in this life and I can help.
If you want to learn more about where my training is coming from, leave your name and email address in the box on this page or at http://DianeNeillJensen.com
I hope to hear from you soon.
*social norms = “friendly requests people make of each other.” “…provides pleasure for both (parties)…does not require reciprocity not immediately required.”
**market norms = “wages, prices, rents…” “imply comparable benefits and prompt payments.”
More on How Making Money Ideas are Good for Business Life but Not In Social Life
Question
If one of your clients or customers in a situation like a retail store, has, say, bounced a check, does the clerk handle the situation?
Answer
Not usually. You would have that customer speak to a management person.
Why?
Some businesses have social norms in the mix.
There’s a fine line, though.
The clerk has the friendly, customers always right attitude, if that clerk is good at what they do. The clerk borders on the edge of social* and market** norms even though they handle business, cash, money, transactions.
The manager, however “nice” and polite, handles the less social situation of dealing with customer problems in which the market norm is more strictly in place.
Conclusion
The manager keeps the clerk from becoming less liked by the customer, more approachable.
The manager, a customer will know, can demand and expect the market norm of “this is business” and lays down the law on an unpaid business obligation.
You can get ahead in this life and I can help.
If you want to learn more about where my training is coming from, leave your name and email address in the box on this page or at http://DianeNeillJensen.com
I hope to hear from you soon.
*social norms = “friendly requests people make of each other.” “…provides pleasure for both (parties)…does not require reciprocity not immediately required.”
**market norms = “wages, prices, rents…” “imply comparable benefits and prompt payments.”
Making Money Ideas Good for Business Life but Not In Social Life
Question
Why do you think that when the wait person places the check on the table, the check is face down?
And that the person who picks up the check makes a point to keep the amount of the check out of conversation?
Answer
The two worlds of social norms* and market norms** collide when payment is offered for something that is part of our social life.
Were you even aware that there were vast differences in the way we handle business situations as opposed to social situations?
Conclusion
When you are at a dinner or social situation in a restaurant or coffee shop, even in the context of a business meeting, placing a price tag on the event, which is normally a social event, is a violation of how we handle social situations.
If we place a dollar amount on that social situation it becomes more of a business transaction, and people get very uncomfortable if the two areas are mixed.
You can still pick up the check, just be low key and never mention the amount.
Offer
You can get ahead in this life and I can help.
If you want to learn more about where my training is coming from, leave your name and email address in the box on this page or at http://DianeNeillJensen.com
*social norms = “friendly requests people make of each other.” “…provides pleasure for both (parties)…does not require reciprocity not immediately required.”
**market norms = “wages, prices, rents…” “imply comparable benefits and prompt payments.”
One of Many Great Making Money Ideas…Offer Something Free
What if
What do you think would happen if you used the following making money ideas to bring customers into your business:
Offered your business clients a discounted trial offer of 50% off the regular price of a $29.95 book, or an ebook version worth only 25% of that same for free?
Invited your coffee lover customers the choice of a free cup of coffee a week, or 50% off their morning coffee for a month?
Offered your home buying client a free washer and dryer to encourage them to purchase the house that costs $10,000 more than the other house of the two that the client was having a hard time deciding upon?
FREE works
Any free offer trumps an offer that has a savings of even more than that of the free offer, if we are “Predictably Irrational”, as proven in Dan Ariely’s book of that title.
Use this proven fact to your advantage, as many are doing online these days in order to entice possible associates to learn more about your business.
Conclusion
You can get ahead in this life and I can help.
If you want to learn more about where my training is coming from, leave your name and email address in the box on this page or at http://DianeNeillJensen.com
I hope to hear from you soon.
Make Your Money Making Ideas More Profitable With This Theory
Learn From This
Whether it’s one of your making money ideas as owner of one of the best home businesses, or if you are shopping for financial retirement planning options, there are psychological factors that you can learn to make work for you or not.
The Theory
When we shop for that particular item, we compare the price of the first item with the price of all future prices of a similar object.
The imprint becomes an “anchor” for the initial prices in our minds.
How the Factor Affects Your Business
So, if you are trying to sell a customer on joining your marketing organization, what they’ve seen before they got to you is a major factor in their decision on whether to join with you or not.
Dan Ariel’s research reported on in his book “Predictably Irrational” says that says our mind imprints the price of the first item we see of a particular type in our minds.
More to This Theory
How long does that anchor last?
The higher or lower the anchor price, determines what the consumer will pay for it on the first purchase, then similarly on the second purchase of a similar product, and in even more similar purchases of similar items.
So, even if your prospect has joined others, and is happy or not with the product, if they’re willing to purchase another business opportunity, the price is a factor.
A Solution to Further Your Business
You can change the price consumers are willing to pay for an item despite their anchor, if you package or market the product in a different way, thus negating the previous anchor in your future associate’s mind.
You would have to create features and benefits that make your product seem totally different than the previous purchases were.
Conclusion
You can get ahead in this life and I can help.
If you want to learn more about where my training is coming from, leave your name and email address in the box on this page or at http://DianeNeillJensen.com
I hope to hear from you soon.