Social Comparison Theory, developed by psychologist Leon Festinger in 1954, suggests that individuals evaluate their own abilities and opinions by comparing themselves to others. This process helps people understand their social standing and self-worth, often leading to feelings of satisfaction or inadequacy based on these comparisons. People typically compare themselves to those they perceive as similar, which can influence their self-esteem and motivation. For instance, someone might feel more confident after comparing themselves to a peer who is less skilled, while feeling discouraged when comparing to someone more accomplished, highlighting the impact of social context on self-perception.