First, it’s important to set a foundation by defining behavioral economics. BE studies the effects of psychological, social, cognitive, and emotional factors on the economic decisions of individuals and institutions and the consequences for market prices, returns, and resource allocation, although not always that narrowly, but also more generally, of the impact of different kinds of behavior, in different environments of varying experimental values. (source: Wikipedia). I have to say that this is actually a pretty easy to understand and overall nicely laid out description of such a complicated topic.
As I’ve stated before, I’m a big fan of behavioral economics. Why? Because traditional game theory is interesting, but it takes no account of human emotions. For corporate strategy planning, this is crazy. I know there are firms that do their best to apply game theory to strategic outcomes, but this is just too generic and static.