These results have been replicated in many similar studies. As Jonah Lehrer tells us: "According to Shiv, a kind of placebo effect is at work. Since we expect cheaper goods to be less effective, they generally are less effective, even if they are identical to more expensive products. This is why brand-name aspirin works better than generic aspirin and why Coke tastes better than cheaper colas, even if most consumers can't tell the difference in blind taste tests." 2 Discuss the implications of this research in marketing and pricing.

The implications of the research in marketing and pricing is that the low cost of a product or service should not be perceived as low quality of the good or service been offered

Explanation:

Lower priced goods are generally perceived by consumers to be of low quality, and this is simply because consumers expect goods produced using high quality materials are generally supposed to be expensive this perception is wrong because many factors play a big role in the pricing of goods and services in the market such as : Demand and supply , Availability of labor and raw materials and also the use of low-pricing strategy by companies to corner the market .

The implications of the research in marketing and pricing is that the low cost of a product or service should not be perceived as low quality of the good or service been offered

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