Question

James was ready to buy a pair of pants he saw in the J Crew catalog that was priced at $25.00 until he noticed two other pairs of pants priced at $65.00 and $95.00. Suddenly the $25.00 pair of pants seemed too cheap. This is an example of

Answer 1

When James saw a pair of pants in the J Crew catalog for $25, he was ready to buy them. However, as he looked through the catalog more, he saw two other pairs of pants priced at $65 and $95. This made the $25 pair seem too cheap in comparison. James may now reconsider his choice and opt for a higher priced pair to ensure a better quality product. The presence of higher priced products can influence consumer spending and purchasing decisions.