Scarcity is a pervasive condition of human existence. Everyday circumstances of limited resources (money and time) can make individuals experience a sense of scarcity. Scarcity functions like an obstacle to goal pursuit, which intensify the value of goal.
Many stores strategically create perception of scarcity
to motivate consumer behavior (urge to buy). For example, the pricing practice of limiting number of items per person (e.g., two cans of soup per person) can lead to increased sales. The sign implies that the items are in short supply and shoppers should feel some urgency about stocking up. The fear of missing out can have a powerful effect on shoppers. When we see a 50 percent off clearance price tag, that scarcity impulse creates a feeling that you have to seize the deal.
