The Endowment Effect in Second-hand Market and the "Double Eleven Shopping Festival"

The endowment effect is common in behavioral economics and consumer psychology, which has a wide range of applications in the consumer and trading market. At the same time, the endowment effect has different positive and negative impacts on various occasions. In life, as consumers, people are often affected by the endowment effect, thus carrying out some irrational consumption. In the market transaction, merchants will also be affected by the endowment effect, thus affecting the market. This paper mainly studies the different effects of endowment effect in other economic behaviors through two examples, it analyzes the case of experiments and the Double Eleven shopping festivals and conclude that the endowment effect has an impact on the trading market. Therefore, understanding the endowment effect and its mechanism of action can help people to identify life. At the same time, by analyzing the impact of the endowment effect, it is conducive to a more targeted response strategy, which is beneficial to both businesses and consumers.