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Our Cognitive Biases stop us from making the right decisions

Buy one Get one offer sounds lucrative and most profitable one but in reality that is for the final consumer and not for business.

Why do we choose 1+1 over other options? Because we think it is the most profitable(Without considering other alternatives) as we get one product absolutely free.

This is the same as choosing the shortest path between two points. When asked, people will say the straight line. This is true in case you consider only 'DISTANCE' but let us sit back and ask 'Why do we need the shortest path?' in the first place. Because we need to reach faster in 'TIME'.

So the question is which path should I choose so that I can reach it in the shortest possible time. This will yield totally different results because reality is complex and has multitudes. (Refer gifs)

Similarly for Business, we need to accept the offer not based on lucrativeness but on Profit Maximization.

I will prove to you mathematically that 1+1 is not lucrative as it sounds particularly for business. Stay tuned for the next article.

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Disclaimer: This article is me speaking to me through this blog! Short Intro: If you want to innovate in a particular field, you need to understand how things work in the first place. Innovation is a

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