decoy effect

noun

The phenomenon whereby consumers will tend to have a specific change in preference between two options when also presented with a third option that is asymmetrically dominated: that is, the third option is inferior in all respects to one option, but, in comparison to the other, it is inferior in some respects and superior in others.

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Meanings

noundecoy effect (plural decoy effects)

plural decoy effects

  1. businessThe phenomenon whereby consumers will tend to have a specific change in preference between two options when also presented with a third option that is asymmetrically dominated: that is, the third option is inferior in all respects to one option, but, in comparison to the other, it is inferior in some respects and superior in others.
Cite this entry
APA

decoy effect. (n.d.). In WatkinsX Dictionary. Retrieved November 2, 2026, from https://dictionary.watkinsx.com/word/decoy%20effect

MLA

“decoy effect.” WatkinsX Dictionary, https://dictionary.watkinsx.com/word/decoy%20effect. Accessed November 2, 2026.

Chicago

WatkinsX Dictionary, s.v. “decoy effect,” accessed November 2, 2026, https://dictionary.watkinsx.com/word/decoy%20effect.

Source: decoy effect on Wiktionary, CC BY-SA 4.0.