Question

Apply microeconomic concepts Rational Decision Making and Consumer Mistakes to an original real-life example. The discussion post must clearly describe a real-life situation and explain how the economic concept(s) applies to the situation.

Answer 1

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Please find below answer to your questions

Abstract

Rational decision making is a multi-step and straight procedure, intended for critical thinking start from issue recognizable proof through the arrangement, for settling on coherently steady choices.

The rational decision making model is a decent model to use sound judgment since it relies upon a sane path utilized for issues comprehending.

We can use rational decison making model in real life situation in following ways :

Step 1 -  The initial step to settle on a rational choice is to recognize and portray the issue by characterizing the current and wanted states and characterizing the other options

Step 2- Growing your pool of potential arrangements supports your odds of taking care of your concern. To discover however many possible arrangements as could be expected, you should accumulate a lot of data about your concern from your own insight and the web.

You can likewise conceptualize with others to reveal progressively potential arrangements.

Step 3- Setting an edge to quantify your answers' prosperity and disappointment lets you figure out which ones can really tackle your concern. Your standard of accomplishment shouldn't be excessively high, however. You would always be unable to discover an answer. In any case, if your guidelines are sensible, quantifiable, and centred, you'll have the option to discover one.

Step 4- Next, you ought to decide every one of your answers' outcomes. To do as such, make a quality and shortcomings table for every other option and contrast them with one another.

You ought to likewise organize your answers in a rundown from most obvious opportunity to take care of the issue to most noticeably awful possibility.

Step 5-  Assess the other options: At this stage, we need to assess the options that we've recognized utilizing the rules that we've distinguished in step2. This progression might be extensively relying upon the number of measures and the number of options.

Step 6- The 6th step is deciding the ideal choice. So as to know the ideal choice, we will duplicate positioning for every option by that models' separate weight.

B) In following way's Consumer Mistakes can be avoided while making any purchasing decision

1) Need acknowledgment (Awareness): The first and most significant phase of the purchasing procedure, in light of the fact that each deal starts when a client becomes mindful that they have a requirement for an item or administration.

2) Quest for data (Research): During this stage, clients need to discover their alternatives.

3) Assessment of options (Consideration): This is the phase when a client is contrasting alternatives with settle on the most ideal decision.

4) Buying choice (Conversion): During this stage, purchasing conduct transforms without hesitation ,  it's the ideal opportunity for the customer to purchase!

5) Post-buy assessment (Re-buy): After creation a buy, buyers consider whether it was justified, despite all the trouble, regardless of whether they will suggest the item/administration/brand to other people, and what criticism they would give.

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