Not that healthy | Outlook Business
Home  /  Strategy  /  Insight  / Not that healthy | AUG 12 , 2015

Insight

Not that healthy
Researchers study the impact of false claims on consumer demand

Team Outlook Business

The recent Maggi-government row in India shows how advertising can often be misleading. This paper by Anita Rao and Emily Wang aims to measure the impact of false claims on consumer demand and understand which type of consumer is most impacted. The paper finds that false claims can have a significant impact on consumer demand from the evidence that termination of these claims led to a decline in consumer demand. New buyers are the most impacted by false claims and persist in their purchases even after the misleading claims have been removed.

Title: Demand for ‘Healthy’ Products: False Claims in Advertising

Source: Social Science Research Network

Here's your chance to read the latest issue of Outlook Business for free! Download the Outlook ​Magazines app now. Available on Play Store and App Store
On Stands Now