In the case of fixie riders, they are signaling to other riders, and the general public, that they are young, fashionably conscious, hardened riders.
The decision to purchase a fixie can also be justified with a cost/benefit analysis: purchase if MB MC.
She choice Oasis Active because the opportunity cost was lower, as it is a free dating site (Oasis Active’s comparative advantage).
What she didn’t consider was that incentive of satisfying materialistic needs such as sex would not motivate men to register for e Harmony, as consumer price discrimination favours Oasis and features younger women – a trait valued by men.
Purchasing a fixie bike may seem like an irrational choice for those who do not delve beneath the exterior motives of the rider.
The vast amounts of money spent on purchasing, but mostly modifying, a fixie bike is well in excess of what most young “Melbournites” would spend on the average consumer good.
Although the price may seem excessive compared to a standard road bike, after careful research and the application of economic reasoning, it is apparent that a fixie is not just any bike. Diana had been on Oasis Active for over a month now and had yet to find a mate.
Initially, Diana had a choice between two dating websites: Oasis Active and e Harmony.
Her initial cost-benefit calculation had been incorrect.
So Diana began to think, I’m still single, and the variable costs are mounting.