La behavioral economics It allows many people who want to start in the world of business entrepreneurship the tools to boost their business. Know everything related by reading the following article.
behavioral economics
Behavioral economics, also called behavioral economics, consists of the influence exerted by social and psychological actions on decisions related to finances and the economy. These behaviors are analyzed to find out if the decisions positively or negatively determine the future of a company or financial project.
These behaviors are analyzed in various branches of psychology such as neuroscience and microeconomics. Techniques that are important for people who want to start a commercial and financial business.
Behavioral economics seeks efficiency in the decisions that future entrepreneurs can make. For example, if someone must acquire a product or any electrical appliance, which will allow them to develop or carry out a project.
To explain it better, we study the buying process through, how long it took to decide on a specific product, as well as the thoughts that led to deciding how much money to invest in purchasing the equipment or product. Although it seems simple, these ideas are what determine in the future that an entrepreneur can be successful.
Some specialists in the area of business marketing have carried out studies and reached the following conclusion: taking into account the previous example, it was observed that 15% of people invest more than half an hour to decide which product or equipment to acquire, while the 25% manage to decide in less than 10 minutes. For its part, there is a majority group of 10% that decides to buy in less than 5 minutes.
The rest, represented by 10%, is indifferent to time and alleges that it can last as long as necessary depending on the conditions of the product and other variants. These values determine who makes the most important decisions and who does not. This decision making is believed to somehow determine behavioral economics.
When deciding to obtain a financial product to start a business, it is important to consider the mental effort that is made to know which item will be the most beneficial to start a business.
We invite you to know how the Entrepreneurship Projects that help many people start a business.
psychological influence
Behavioral economics not only takes into account psychological factors, it also considers other variables such as cultural processes, social and emotional factors. However, the psychological process represents a major factor.
The way in which people make judgments and how they make decisions is sought, so that they serve them later, to apply them in the necessary areas such as economic and commercial strategies. Complement this information by reading the following article related to business strategies
How to apply them?
Some believe that this type of economy is only a way of representing decision making, taking into account emotions and is closely related to your emotional intelligence. They also consider that the behavior and habits of people are also important when making financial decisions.
It is believed that one of the problems facing behavioral economics today is related to people's response to a specific situation. The decision of the person may vary between entrepreneur or consumer at the time of making a relevant decision.
This alternation is what some call a duality of business criteria, and they do not help at all to maintain a strategic line that helps to develop a financial entrepreneurship project. Each person takes into account past decisions, whatever they may be; look for a partner, get a job start a business.
There are factors that influence that decision making. In each person they are totally different and that is where there can be the difference between a successful entrepreneur and one without aspirations. The importance of knowing the financial behavior of individuals is important for behavioral economics.
Let's remember that if a person decides to start a business, they will encounter situations of various types, which they must face and not only solve but also prepare future strategies that determine the solution. So emotional thoughts, fear and risk come into play, the difference that determines a successful entrepreneur and a basic entrepreneur.
These economic strategies can be important in the start-up processes that many people are carrying out today. That is why it is important to know the forms and processes that behavioral economics is carrying out to give many companies and corporations elements that help them consider and classify future entrepreneurs.
Years ago it was not thought of in such a way. It was impossible to think that people's emotions and behaviors could influence who can develop as an entrepreneur, or simply as a financial leader and be able to make important decisions.