So cheap it can't be good

There’s a concept in behavioral economics called the fallacy of supply and demand (read Predictably Irrational for more) that explains how prices can generate an anchor point in the consumer’s decision making process. But that’s not the only point to consider here.
The other day a friend of mine was shopping on Amazon. He wanted to buy a screen monitor and he was between 3 choices. The first one, was an expensive curved/4k/badass monitor. The second option was something more standard with a good price. And the third one, was exactly the same as the second one, but cheaper.
Following the principle’s theory, when you have 3 choices—an expensive one, a medium price and a cheap one—you tend to pick the one in the middle.
So there was my friend deciding what to buy. First, he admitted that the expensive monitor was a whim and he wouldn’t need that much. So that only left him with 2 options on the table. Same specs, almost similar design. But different brands.
When he was about to make a decision, he said: it’s so cheap that it can’t be good. So he picked the second option.
For instance, the fallacy of supply and demand worked. However, there was another key that generate that purchase. And that was a brand with a story.
This theory works better when you’re comparing products within the same brand, but when you get to pick more brands, it’s the story those brands tell what makes you decide what to buy.
Price is an indicator of quality and, at the same time, it’s directly related with the story you tell.
Brands with a remarkable story ain’t be cheap. And if the story you tell is that you are cheapest… Guess who’s gonna get the money.