GROUP 2 - Social Proof and Sunk cost Fallacy (1)

SOCIAL PROOF SOCIAL PROOF GROUP 2

SOCIAL PROOF WHAT IS SOCIAL PROOF...??? Change their beliefs, attitudes, actions, or perceptions Match those held by groups to which they belong or want to belong Also termed as Group Conformity. GROUP 2

SOCIAL PROOF WHY WE FALL INTO THE LOOP OF SOCIAL PROOF....??? GROUP 2

Informational Social Influence It operates when people look to others for guidance about how to behave in ambiguous situations. SOCIAL PROOF GROUP 2

SOCIAL PROOF Normative Social Influence It is a process of going along with what other people do in order to be liked and accepted GROUP 2

SOCIAL PROOF ADVANTAGES Can help you develop good habits Increase group coordination Protects against outside threats DISADVANTAGES Hampers personal progress May cause you to lose your identity Lead to dependency GROUP 2

SOCIAL PROOF DOES SOCIAL PROOF FORMS A BARRIER TO CRITIC AL THINKING...??? GROUP 2

SOCIAL PROOF HOW DO PEOPLE FALLTHEY THINK CRITICALLY BEFORE FOLLOWING GROUPS? INTO SOCIAL PROOF?? DO GROUP 2

SOCIAL PROOF WAITING ROOM EXPERIMENT GROUP 2

WAITING ROOM EXPERIMENT WHY EVERYONE STARTED FOLLOWING THE RULE? SOCIAL PROOF SOCIAL LEARNING SOCIAL PROOF GROUP 2

REVIEW, RATING, AND CUSTOMER TESTIMONIALS SHOULD I BUY THIS PRODUCT OR NOT? SOCIAL MEDIA NEWS MOST POPULAR AWARDS SOCIAL PROOF GROUP 2

‘IF 50 MILLION PEOPLE SAY SOMETHING FOOLISH, IT IS STILL FOOLISH.’ ~W. SOMERSET MAUGHAM

ARE WE DOING THINGS JUST TO CONFORM WITH THE GROUP??? SOCIAL PROOF GROUP 2

SOCIAL PROOF COMPLIANCE INTERNALIZATION GOING WITH THE TREND OR FEELING OF ACCEPTANCE DON'T HAVE ENOUGH TRUST ON OURSELVES GROUP 2

SOCIAL PROOF CAN I AVOID SOCIAL PROO F??HOW?? GROUP 2

YES, WE CAN 03 LET'HSOWSEE Be confident 01 04 Be informed and Be open to new create counter ideas narratives 05 02 Develop internal locus of control Practice GROUP 2 SOCIAL PROOF

SUNK COST FALLACY

THE BELIEF THAT YOU SHOULD STICK WITH SOMETHING JUST BECAUSE YOU’VE INVESTED SOMETHING IN IT.

IT'S SHOWTIME!

WHAT DO WE DO? STAY OR LEAVE? >PAST FUTURE GAINS LOSSES

IN REALITY WE ARE LOOSING TIME <PAST FUTURE GAINS LOSSES

THE CONCORDE FALLACY IN 1956, THE SUPERSONIC TRANSPORT AIRCRAFT COMMITTEE DECIDED TO BUILD A SUPERSONIC AIRPLANE \"THE CONCORDE\" FRENCH AND BRITISH GOVERNMENTS WERE INVOLVED ESTIMATED TO COST ALMOST 100 MILLION DOLLARS

THEY KNEW, THE FINANCIAL GAINS OF THE PLANE, ONCE IN USE, WOULD NOT OFFSET THE COST. WHAT DO YOU THINK HAPPENED?

THE PROJECT CONTINUED! LOSS OF MILLIONS OF DOLLARS

WAR \"I’M SORRY ABOUT YOUR SON. HE DIDN’T HAVE TO DIE\" \"WE DIDN’T WANT HIS DEATH TO FEEL MEANINGLESS. SO, WE SENT YOUR OTHER BOY AFTER HIM.”

LETTING GO OF THINGS OTHER EXAMPLES RELATIONSHIPS



SUNK COST FALLACY WHY DOES IT HAPPEN? GROUP 2

COMMITMENT BIAS COMMITMENT BIAS UNWILLINGNESS TO MAKE DECISIONS THAT CONTRADICT THINGS WE HAVE SAID OR DONE IN THE PAST. GROUP 2

COGNITIVE DISSONANCE COGNITIVE DISSONANCE WE AVOID HAVING CONFLICTING BELIEFS AND ATTITUDES BECAUSE IT MAKES US UNCOMFORTABLE. GROUP 2

LOSS AVERSION LOSS AVERSION INDIVIDUALS FEEL THE PAIN OF LOSS TWICE AS INTENSIVELY THAN THE EQUIVALENT PLEASURE OF GAIN. GROUP 2

EMOTIONAL CONNECT EMOTIONAL CONNECT WE OFTEN CONNECT TO AN INVESTMENT EMOTIONALLY HENCE GIVING US A REASON TO STICK TO IT. GROUP 2

SUNK COST FALLACY CAN SOCIAL PROOF BE BLAMED? GROUP 2

SUNK COST FALLACY AM I REALLY IN A SUNK COST FALLACY? GROUP 2

SUNK COST FALLACY HEADING TOWARDS REALIZATION! GROUP 2

SUNK COST FALLACY ANALYZE! GROUP 2 WHY AM I STAYING? WHAT IS HAPPENING AROUND MY PROBLEM TAKE EXTERNAL OPINION

SUNK COST FALLACY CAN I AVOID IT? HOW? GROUP 2

Here's how SAV E SELV E 01 W E S 04 QUALITATIVE AND BYGONES PRINCIPLE OUR QUANTITATIVE 02 ANALYSIS REVISIT THE ISSUE SUNK COST FALLACY 05 03 OUTSIDE OPINION THINK RATIONALLY GROUP 2

SUNK COST FALLACY GROUP 2

THANK IPM22007 YOU! IPM22008 IPM22011 ANANYA SETH IPM22042 ANJALI GUPTA IPM22057 ARNIM DEV SINGH IPM22062 ROMALY PRIYADARSINI VIDUSHI MITTAL MUSKAN CHOUHAN