Examining Cognitive Biases in Consumer Decision-Making at the Point of Purchase: Comprehensive Analysis through the Lens of the 4Ps Marketing Mix

Abstract

This thesis investigates consumer decision-making by examining the impact of cognitive biases within the marketing mix framework. The study examines biases such as loss aversion, present bias, and negativity bias, revealing their role in shaping consumer behaviour using a bibliometric analysis. Real-world examples and a literature review highlight the complexities and importance of biases in consumer decisions. The integration of cognitive biases with McCarthy's (1960) 4Ps adds theoretical value, but ethical considerations emphasize the potential consequences of using biases in advertising. Managerial insights emphasize the importance of specialized marketing techniques that are matched with consumer psychological tendencies, with an emphasis on transparency and ethical behaviours.