Use of Heuristic Decision Rules in Complex Financial Products

Abstract

Since D. Kahneman y A. Tversky came up in the 70s with the Prospect Theory describing the use of heuristic rules for taking decisions, these have been studied exhaustively in psychology and economics, although, less generously in the consumer behaviour perspective. This research provides empirical evidence of low consumer involvement in complex decisions and the use of heuristic rules and decision practice, challenging the general accepted Marketing model assuming a high level of involvement and information process by consumers in these types of decisions. The conclusions drawn were obtained from an empirical research performed on Spanish Individual Pension Plans from a sample of 767 individuals of different socio-demographic backgrounds.