Picture this: you own a building. One day, you decide to open a business, so you renovate the ground floor into a commercial space and live above it.
This scenario was the norm for thousands of years. Today, it’s illegal in most neighborhoods due to zoning and parking laws.
Just experienced a great example of this the other day trying a new restaurant based on reviews. Word of mouth can be biased also as many believe the things they spend money as ‘good decisions’.
13. Social Influence Bias:
You can't trust customer ratings, because each rating is influenced by the previous ones. People will rate something higher if the current rating is very low or very high. The result is that many things have far higher customer ratings than they should.