Sunday, May 11, 2008
The GFE Factor
Recently I read the much hyped book, “It Happened in India”. Personally I didn’t like this book as most of the points claimed as the success factors in the book are attributed to ‘fooled by randomness’. But that’s just my opinion.

However, my biggest take away from the book came in the first 50 pages. It is the GFE Factor. Now coming to the point: What is this GFE Factor.. It is Greed – Fear – Envy.

The purchasing behaviour (irrational) of any consumer is linked to one of these three attributes.
  • You purchase something because it is being offered for a price cheaper than the market (Greed).
  • You purchase something because it is being sold for a price less than the market, tomorrow it might not (Fear).
  • You purchase something that you don’t need, because your neighbour has bought it for a cheap price.

So whether it’s Greed, Fear or Envy – you bought something.

Extending this logic beyond purchasing behaviour…. I believe this is the subtle factor that is driving people’s behaviour in life. Most of the human motivations/aspirations are bound to evolve from one of these factors.

I know…. People won’t accept this logic as every one tries to fit their motivations or aspirations into the rational set of framework. But beyond those frameworks, there will definitely be an irrational element. I am not trying to say that this GFE factor is bad, but I am just trying to give a thought to this irrational framework.

Let me know the views and counter views on this… :-)

Posted by Kishore at 9:21 PM | Permalink |


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