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Behavioral industrial organization, firm strategy, and consumer economics

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  • Azar, Ofer H.

Abstract

The field of behavioral economics is one of the fastest-growing fields in economics in recent years. Not long ago this was a small field, but over the last decade or so, the field gained more recognition, and today it seems clear that psychological motivations and biases affect economic behavior in many important ways. Insights from psychology were incorporated in several areas of economics. This paper offers a short review of the application of behavioral economics to industrial organization, which can be denoted “behavioral industrial organization,” and on the relationship between behavioral industrial organization, firm strategy, and consumer economics.

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File URL: http://mpra.ub.uni-muenchen.de/4484/
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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 4484.

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Date of creation: 2006
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Handle: RePEc:pra:mprapa:4484

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Keywords: industrial organization; behavioral economics; strategy; firm strategy; business strategy; economic psychology; behavioral industrial organization; consumer behavior; consumer economics;

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  1. Daniel Levy & Haipeng (Allan) Chen & Sourav Ray & Mark Bergen, 2004. "Asymmetric Price Adjustment in the Small: An Implication of Rational Inattention," Working Papers 2004-08, Department of Economics, Bar-Ilan University.
  2. Ofer H. Azar, 2013. "Firm strategy and biased decision making: the price dispersion puzzle," Applied Economics, Taylor & Francis Journals, vol. 45(7), pages 901-910, March.
  3. Stefano Della Vigna & Ulrike Malmendier, 2004. "Contract Design and Self-control: Theory and Evidence," The Quarterly Journal of Economics, MIT Press, vol. 119(2), pages 353-402, May.
  4. Stefano DellaVigna & Ulrike Malmendier, 2006. "Paying Not to Go to the Gym," American Economic Review, American Economic Association, vol. 96(3), pages 694-719, June.
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