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Nielsen TV: Rational Choice and the Disappearing Middle Market
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Nielsen TV: Rational Choice and the Disappearing Middle Market

The middle market is a big topic in business today, and discussions on the subject often skew toward economics. But when we look beyond the subject of shifting incomes, we can see that price and value are significant factors as well. In fact, Steve Carlotti, CEO of The Cambridge Group, believes the bigger part of the story centers around consumers making rational choices based on the value they derive from the products and services they buy. And to that effect, he says consumers really need to see the value in a product in order to pay a premium price for it. When there’s no perceived value, consumers are likely going to pick the next best—and less costly—thing.