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Freudian Motivation Theory: How it Shapes Investor Behavior

File Photo: Freudian Motivation Theory: How it Shapes Investor Behavior
File Photo: Freudian Motivation Theory: How it Shapes Investor Behavior File Photo: Freudian Motivation Theory: How it Shapes Investor Behavior

What is Freudian Motivation Theory?

Freudian motivation theory states that hidden wants and motives, such as buying habits, influence behavior. The medical doctor and psychoanalyst Sigmund Freud formulated this hypothesis.

Understanding the Theory

Sales and marketing sometimes use Freudian motivation theory to study customer motives during purchase decisions. Freud’s idea studied how a product’s touch, taste, or smell affects a person’s recollections. Marketers and salespeople may influence consumers to buy by understanding how product aspects evoke emotions.

According to Freudian motivation theory, consumers buy blinds to cover windows to satisfy conscious, functional, and unconscious needs, like the dread of being seen as nude. A salesperson seeking to sell furniture may inquire if this is the consumer’s first house. If the buyer says yes, the salesperson may say the table is warm or comfy, providing a sense of safety.

Key Freudian Motivation Theory concepts

Freud believed the psyche had distinct conscious and unconscious parts. People’s identity and personality come from their ego, the conscious mind’s ideas, memories, perceptions, and feelings. The unconscious mind, or id, is a person’s birthright instincts. Since not everyone acts on impulse, the superego moderates society’s conventional standards and taboos. These theories can help market researchers understand why consumers buy by concentrating on conscious and unconscious motives and social expectations.

Using Freudian Motivation Theory

To predict the success of a new product, firms often hire market researchers to unearth the hidden motives of a particular group of consumers and their buying behaviors. They may use role-playing, pictorial interpretation, phrase completion, or word association to find deeper meanings. Researchers may learn how people react to items and how to promote them through such activities. Buying a specific computer brand may make someone feel clever, successful, productive, and distinguished. Marketers may utilize this data to build brand identity.

Conclusion

  • The theory states that hidden wants and motives, such as buying habits, influence behavior.
  • Sales and marketing use Freudian motivation theory to analyze customer buying motivations.
  • According to the theory, consumers satisfy conscious, functional, and unconscious demands during sales.

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