Dan Ariely on predicting the irrational
Dan is also professor of Behavioral Economics at Duke University Fuqua School of Business and visiting professor MIT The Media Laboratory.
“If the decision environment plays a big role in what people end up choosing, itâ€™s important to model or represent the decision environment. To the extent that conjoint analysis correctly represents decision environments that people use when making particular decisions (when people consider different computers they look at the whole profile: resolution, memory, hard drive space) then itâ€™s a good method. But to the extent that it uses different decision-making processes then itâ€™s not accurate and can actually be misleading.”