Learn more about economics with this collection
How to make rational decisions
The role of biases in decision-making
The impact of social norms on decision-making
The first theories focusing onto the bullwhip effect were mainly focusing on the irrational behavior of the human in the supply chain
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When you make a change to one behavior, it will activate a chain reaction and cause a shift in related behaviors as well. It occurs for 2 reasons:
Many people have stories of achieving something great because someone had high expectations of them. The concept of the Pygmalion Effect is that expectations will influence performance and become a self-fulfilling prophecy.
The term "Pygmalion effect" comes from studie...
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