Author(s)

Jiazheng Wen

Corresponding Author

Jiazheng Wen

Abstract

The Ikea Effect, a concept related to consumers’ utilities on self-assembled products, was firstly introduced in 1980 by Richard Thaler. This principle displayed the relationship that consumers typically value self-assembled products such as LEGO toys and mosaic furniture to be more expensive and valuable than their selling price. Simply, this is because people add personal emotions during the process of building, and they generate feelings of productivity serving as an important goal for many people. The overall discussions and scholars’ researches proved that logic and ideas with reliable experiments, however, one of the interesting elements in this system has a strong probability to affect the result of the Ikea Effect.

Keywords

Behavioral economics, Ikea effect, Consumer statistics