Different Attentional Patterns for Regret and Disappointment: An Eye‐tracking Study

The unfavorable comparison between the obtained and expected outcomes of our choices may elicit disappointment. When the comparison is made with the outcome of alternative actions, emotions like regret can serve as a learning signal. Previous work showed that both anticipated disappointment and regret influence decisions. In addition, experienced regret is associated with higher emotional responses than disappointment. Yet it is not clear whether this amplification is due to additive effects of disappointment and regret when the outcomes of alternative actions are available, or whether it reflects the learning feature of regret signals. In this perspective, we used eye‐tracking to measure the visual pattern of information acquisition in a probabilistic lottery task. In the partial feedback condition, only the outcome of the chosen lottery was revealed, while in the complete feedback condition, participants could compare their outcome with that of the non‐chosen lottery, giving them the opportunity to experience regret. During the decision phase, visual patterns of information acquisition were consistent with the assessment of anticipated regret, in addition to a clear assessment of lotteries' expected values. During the feedback phase, subjective ratings and eye‐tracking results confirmed that participants compared their outcome with the outcome of the non‐chosen lottery in the complete feedback condition, particularly after a loss, and ignored the non‐realized outcome of the chosen option. Moreover, participants who made more visual saccades consistent with counterfactual comparisons during the feedback period anticipated regret more in their decisions. These results are consistent with the proposed adaptive function of regret. © 2016 The Authors Journal of Behavioral Decision Making Published by John Wiley & Sons Ltd.     

Differences in multiple‐target visual search performance between non‐professional and professional searchers due to decision‐making criteria

Professional visual searches, such as those conducted by airport security personnel, often demand highly accurate performance. As many factors can hinder accuracy, it is critical to understand the potential influences. Here, we examined how explicit decision‐making criteria might affect multiple‐target search performance. Non‐professional searchers (college undergraduates) and professional searchers (airport security officers) classified trials as ‘safe’ or ‘dangerous’, in one of two conditions. Those in the ‘one = dangerous’ condition classified trials as dangerous if they found one or two targets, and those in the ‘one = safe’ condition only classified trials as dangerous if they found two targets. The data suggest an important role of context that may be mediated by experience; non‐professional searchers were more likely to miss a second target in the one = dangerous condition (i.e., when finding a second found target did not change the classification), whereas professional searchers were more likely to miss a second in the one = safe condition.     

Hormonal changes after competition predict sex‐differentiated decision‐making

Recent neuroendocrinology research has pointed out that testosterone (T) and cortisol (C) changes after social interactions can predict risk‐taking behavior in decision‐making, depending on the sex of participants. However, previous research has focused on the effects of the changes in only one hormone, rather than the interaction between them, even though C can suppress T activity. Our aim was to test, in men and women, the role of T changes moderated by C changes after competition in decision‐making. Thus, 48 males and 46 females completed the Iowa Gambling Task (IGT) after a laboratory competition or a noncompetitive task (control task). Saliva samples were collected before and after the competition/control task. IGT was employed to measure risk‐taking decision‐making, considering the degree of uncertainty. Our results showed sex‐differentiated effects of T and C changes on risk‐taking behavior. On the one hand, men from both task groups (Competition/Control) who had higher C and T changes after competition showed more risk‐taking decision‐making (higher IG Risk). On the other hand, women from the competitive task who had high C and T showed conservative decision‐making. Therefore, these results show sex‐differentiated decision‐making profiles, which would help to understand how men and women behave after experiencing a competitive social context.     

Self‐Control Moderates Decision‐Making Behavior When Minimizing Losses versus Maximizing Gains

We examined (1) whether people would be more responsive to the delayed consequences of their decisions when attempting to minimize losses than when attempting to maximize gains in a history‐dependent decision‐making task and (2) how trait self‐control would moderate such an effect. In two experiments, participants performed a dynamic decision‐making task where they chose one of two options on each trial. The increasing option always gave a smaller immediate reward but caused future rewards for both options to increase. The decreasing option always gave a larger immediate reward but caused future rewards for both options to decrease. In Experiment 1 where the two options had equivalent expected value in the long run, participants were more prone to select the increasing option, which yielded larger benefits on future trials, in the loss‐minimization condition than in the gain‐maximization condition. Trait self‐control moderated the effect of losses by enhancing the effect for low self‐control participants while attenuating it for high self‐control participants. In Experiment 2 where selecting the increasing option was suboptimal, low self‐control participants still attempted to reduce losses on future trials by selecting the increasing option more often than high self‐control participants. These results suggest that decision makers value delayed consequences of their actions more in a losses domain relative to a gains domain and low self‐control individuals are more susceptible to such an effect. Copyright © 2014 John Wiley & Sons, Ltd.     

Risk and rationality: the influence of decision domain and perceived outcome control on managers' high‐risk decisions

The issue of when managers will undertake different forms and amounts of risk in their new business creation decisions is still not fully understood. To address one facet of this issue, this paper advances the proposition that decision domain and perceived outcome control interact to impact managers' new‐product introduction decisions. Employing a causal method, a nested experimental design and indicators of risk's probability of loss and magnitude of loss elements, the study's results demonstrate that the manager's level of perceived outcome control combines with decision domain to determine subsequent levels of risk taking that are specific to each element of risk. Implications for theory, including prospect theory, and practice, especially firms wanting to pursue today's high‐risk new‐economy based initiatives, are discussed. Copyright © 2002 John Wiley & Sons, Ltd.     

Production planning of Pakistan Tobacco Company (PTC) using quantitative and multiple‐criteria decision analysis—A case in‐point

The main purpose of this paper is to improve the production planning of Pakistan Tobacco Company by selecting the most preferred brand and subsequently generating maximum profit from it. As the company produces a variety of products, the technique of multi criteria decision making is used to select the most preferred brand. To generate the maximum output from the preferred brand, different methods of qualitative managerial analysis are used, which include decision analysis to decide “why and where” the manufacturing should be carried out, transportation model to minimize the logistics cost while meeting the demand, and linear programming technique to maximize the profit generated in 2014–2015. The result obtained from analytical hierarchy process shows that the most preferred brand of the company with respect to price, quality, and comfort is John Player Gold Leaf. The decision analysis explains that this brand should be manufactured in the Jhelum factory of the company as it is more cost‐effective to produce and there is a high availability of resources. Transportation model minimizes the logistics cost of this brand from the 2 factories while meeting the demand at each provinces, central warehouse. Linear programming contributes in generating a profit of 32.738 billion PKR with an amount of 0.35 million PKR, which is more than that of the current profit of the company in the year. These results will allow the top management of the company to take corrective decisions well in time, gain a core competency in cost reduction, and make the supply chain process more efficient.     

“All‐or‐None” Versus “Most‐or‐Some” Options in Risky Choice: Effects of Domain and Handedness

Two methodological variants of Kahneman and Tversky's Asian disease scenario were investigated. One variant involved replacing the “all‐or‐none” outcome scenarios of the risky choice with “most‐or‐some” scenario outcomes, and the second variant involved replacing the negative domain of lives lost with a positive domain of jobs created. In addition, the effects of strength of handedness, a variable related to individual differences in risk perception, were examined. Results indicated that standard framing effects were obtained across both domains, with a decrease in risky choice under the gain domain. Scenario type also interacted with handedness, such that the all‐or‐none scenario yielded framing effects for consistent (strong)‐handers only, whereas the most‐or‐some scenario yielded framing effects for inconsistent (mixed)‐handers only (consistent‐handers are those who use the same hand exclusively for almost all activities). These results demonstrate that framing effects are strongly influenced by the presence versus absence of extreme/absolute outcomes and that individuals (in this case, decision makers with varying degrees of handedness strength) are differentially sensitive to different pieces of information. Copyright © 2014 John Wiley & Sons, Ltd.     

Consumer decisions in relationships

Most research on consumer choice assumes that decisions are usually made by individuals, and that these decisions are based on an individual's personal attitudes, beliefs, and preferences. Yet, much consumer behavior—from joint decisions to individual choices—is directly or indirectly shaped by people with whom we have some relationship. In this target article, we examine how each member in a relationship can affect how consumer decisions are made. After reviewing foundational work in the area, we introduce a powerful and statistically sophisticated methodology to study decisions within relationships—a dyadic framework of decision-making. We then discuss how the study of consumer decisions in relationships can be informed by different theories in the relationships field, including attachment, interdependence, social power, communal/exchange orientations, relationship norms, and evolutionary principles. By building on the seminal foundations of prior joint-decision making research with theories and methods from contemporary relationship science, we hope to facilitate the integration of the consumer and relationships literature to better understand and generate novel hypotheses about consumer decisions in relationships.     

Students' Ethical Decision‐Making When Considering Boundary Crossings With Counselor Educators

Counselor education students (N = 224) rated 16 boundary‐crossing scenarios involving counselor educators. They viewed boundary crossings as unethical and were aware of power differentials between the 2 groups. Next, they rated the scenarios again, after reviewing 1 of 4 ethical informational resources: relevant standards in the ACA Code of Ethics (American Counseling Association, 2014), 2 different boundary‐crossing decision‐making models, and a placebo. Although participants rated all resources except the placebo as moderately helpful, these resources had little to no influence on their ethical decision‐making. Only 47% of students in the 2 ethical decision‐making model groups reported they would use the model they were exposed to in the future when contemplating boundary crossings     

Trait anger and anger expression style in children's risky decisions

In this study, 104 children completed a task, measuring risk decision-making, and the State-Trait Anger Expression Inventory for Children and Adolescents. Subjects were also asked to evaluate the degree of danger, benefit, fun and fear perceived for each risky choice. Analyses indicated that (a) risk decision-making was predicted by both trait anger and outward expression of anger; (b) appraisal of danger fully mediated the relationship between trait anger and risk; (c) perceptions of benefit, scare and fun partially mediated the relationship between trait anger and risk; and (d) appraisal of danger partially mediated the relationship between outward expression of anger and risk decision-making. The results provide evidence for a relationship between dispositional anger and risk decision-making during childhood, suggesting a possible explanation of the mechanisms below. In particular, risk decision-making can be viewed as the output of cognitive and emotive processes, linked to dispositional anger that leads children to be amused, optimistic and fearless in potentially risky situations. These findings substantiate the importance of incorporating cognitive and emotive factors in theories that seek to explain the relationship between personality traits and risk decision-making across a broad age range.     

Multiple Criteria Decision‐Making in Management Accounting and Control‐State of the Art and Research Perspectives Based on a Bibliometric Study

As an academic discipline as well as in practice, decision support is one of the most important functions of management accounting and control (MAC). Owing to decision settings' increasing complexity, suitable multiple criteria methods are becoming increasingly important for MAC. We, therefore, examine the extent to which certain multiple criteria decision‐making (MCDM) methods are used in the MAC context. In order to do so, we undertook an extensive bibliometric analysis of the management accounting field during the last three decades. The results indicate an increase in the importance of MCDM. Furthermore, recent research activities were classified into different areas of decision‐making within MAC since the majority of publications deal with the areas of strategic management, budgeting and performance management. More specifically, strategy and performance evaluation, strategic planning and the selection of alternatives are the most prominent MCDM applications. Our analysis reveals that the analytic hierarchy process (AHP) is the most popular analytical tool with which to support management in complex decision‐making situations. The results of the study prove that technical MAC literature does not cover a desirable range of MCDM applications and that the AHP, as well as the analytic network process (ANP) are of increasing importance in respect of the international scope of MAC. Therefore, the area of MCDM continues to be an active part of management science research and application, specifically of MAC. Copyright © 2011 John Wiley & Sons, Ltd.     

Choice‐making,Expectations, and Treatment Positivity: How and When Choosing Shapes Aversive Experiences

Every day we use products and treatments with unknown but expected effects, such as using medication to manage pain. In many cases, we have a choice over which products or treatments to use; however, in other cases, people choose for us or choices are unavailable. Does choosing (versus not choosing) have implications for how a product or treatment is experienced? The current experiments examined the role of choice‐making in facilitating so‐called expectation assimilation effects—or situations in which a person's experiences (e.g., discomfort and pain) are evaluated in a manner consistent with their expectations. In Experiment 1, participants were initially exposed to a baseline set of aversive stimuli (i.e., sounds). Next, some participants were given expectations for two “treatments” (i.e., changes in screen display) that could ostensibly reduce discomfort. Critically, participants were either given a choice or not about which of the two treatments they preferred. Participants in a control condition were not provided with treatment expectations. Results revealed that discomfort experiences assimilated to expectations only when participants were provided with choice. Experiment 2 replicated this finding and provided evidence against the idea that demand characteristics and choice‐making unrelated to the core task (i.e., choices without associated expectations) could account for the results. Further, Experiment 2 showed that choosing reduced discomfort because of increased positivity about the treatment. Results are discussed in the context of extant research on choice‐making and expectation effects. Copyright © 2013 John Wiley & Sons, Ltd.     

Aging and decision‐making competence: an analysis of comprehension and consistency skills in older versus younger adults considering health‐plan options

Older adults need to maintain strong decision‐making capabilities as they age. However, we know little about how age‐related physical and psychological changes affect older adults' judgment and decision processes. This paper reports the results of research comparing older versus younger adults' performance on evaluation and choice tasks about health‐plan options. In particular, comprehension and consistency in judgments (across separate versus joint evaluation contexts) were examined. Results indicated that increasing age was related to greater comprehension errors and inconsistent preferences, even when covariates (education, income, gender, self‐perceived skill and health, decision style, and attitude toward delegation) were taken into account. Discussion of the results emphasizes difficulties in interpreting the meaning of age differences in performance on decision tasks and the need for research that ascertains the seriousness of the consequences of age differences in real‐life tasks. The implications for providing decision‐aiding interventions for older adults are highlighted. Copyright © 2002 John Wiley & Sons, Ltd.     

Dispositional optimism,self‐framing and medical decision‐making

Self‐framing is an important but underinvestigated area in risk communication and behavioural decision‐making, especially in medical settings. The present study aimed to investigate the relationship among dispositional optimism, self‐frame and decision‐making. Participants (N = 500) responded to the Life Orientation Test‐Revised and self‐framing test of medical decision‐making problem. The participants whose scores were higher than the middle value were regarded as highly optimistic individuals. The rest were regarded as low optimistic individuals. The results showed that compared to the high dispositional optimism group, participants from the low dispositional optimism group showed a greater tendency to use negative vocabulary to construct their self‐frame, and tended to choose the radiation therapy with high treatment survival rate, but low 5‐year survival rate. Based on the current findings, it can be concluded that self‐framing effect still exists in medical situation and individual differences in dispositional optimism can influence the processing of information in a framed decision task, as well as risky decision‐making.     

Too good to be true? Psychological responses to uncommon options in risk–reward environments

Risks and rewards, or payoffs and probabilities, are inversely related in many choice environments. We investigated people's psychological responses to uncommon combinations of risk and reward that deviate from learned regularities (e.g., options that offer a high payoff with an unusually high probability) as they evaluated risky options. In two experiments (N = 183), participants first priced monetary gambles drawn from environments in which risks and rewards were negatively correlated, positively correlated, or uncorrelated. In later trials, they evaluated gambles with uncommon combinations of risk and reward—that is, options that deviated from the respective environment's risk–reward structure. Pricing, response times, and (in Experiment 2) pupil dilation were recorded. In both experiments, participants took more time when responding to uncommon compared to foreseeable options or when the same options were presented in an uncorrelated risk–reward environment. This result was most pronounced when the uncommon gambles offered higher expected values compared to the other gambles in the set. Moreover, these uncommon, high‐value options were associated with an increase in pupil size. These results suggest that people's evaluations of risky options are based not only on the options' payoffs and probabilities but also on the extent to which they fit the risk–reward structure of the environment.     

The Impact of Trait Anxiety on Self‐frame and Decision Making

The present study investigated how trait anxiety influenced the formation of a self‐frame and decision making. Participants (N = 1044) responded to the Trait Anxiety Inventory. Those with trait anxiety scores ±1 Z score from the sample mean (N = 328) were recalled to respond to the self‐frame questionnaire. The results suggested that trait anxiety differences could result in differences in the editing of decision‐making information, thereby influencing the risky choice. Compared with the low trait anxiety group, participants from the high trait anxiety group showed a greater tendency to use negative vocabulary to construct their self‐frame and tended to choose conservative plans. Self‐frame suppressed the influence of trait anxiety on decision making. These results further confirmed the hypothesis that individual differences in personality traits might influence the processing of information in a framed decision task. Copyright © 2013 John Wiley & Sons, Ltd.     

Seeing is not enough: manipulating choice options causes focusing and preference change in multiattribute risky decision‐making

We show that preferences depend on the attributes that can be directly manipulated when people need to integrate multiple sources of information because direct manipulation causes focusing bias. This effect appears even when all relevant information is simultaneously and explicitly presented at the time the decisions are made. Participants decided how much to save, what investment risk to take and observed the future financial consequences in terms of the mean and variability of the expected retirement income. Participants who manipulated only the future income distribution saved more and took less risk. This effect disappears when the risk‐related variables are removed, which indicates that task complexity is a mediator of such focusing effects. A more balanced trade‐off between the choice attributes was selected when all attributes were manipulated. However, when there is a dichotomy between manipulating versus observing choice attributes, then decisions were based mostly on the manipulated attributes. Copyright © 2008 John Wiley & Sons, Ltd.     

Graph‐Framing Effects in Decision Making

This study manipulated the graphical representation of options by framing the physical characters in figures and found that preferences could be affected even when the words and numbers of the problem were constant. Based on attribute substitution theory and an equate‐to‐differentiate approach, we proposed a two‐process model of graph‐framing effects. In the first mental process, the graph‐editing process, the physical features (e.g., distance, size) represented in the graph are visually edited, and the perceived numerical difference between the options is judged based on its physical features. The second mental process, the preferential choice process, occurs by an equate‐to‐differentiate approach in which people seek to equate the difference between options on the dimension on which the difference is smaller, thus leaving the greater other‐dimensional difference to be the determinant of the final choice. Four experiments were tested for graph‐framing effects. Experiment 1 found a graph‐framing effect in coordinate graphs resting on the (de)compression of the scales employed in the figures. Experiment 2 revealed additional graph‐framing effects in other question scenarios and showed that preference changes were mediated by perceived numerical distances. Experiment 3 further confirmed the presence of graph‐framing effects in sector graphs similar to those found in coordinate ones. Experiment 4 suggested that such graph‐framing effects could be eliminated when logical processing (e.g., introducing a mathematical operation before a choice task) was encouraged. This paper discusses related research and a possible substrate basis for graph‐framing effects. Copyright © 2011 John Wiley & Sons, Ltd.     

Connection‐based and object‐based grouping in multiple‐object tracking: A developmental study

Developmental research on Gestalt laws has previously revealed that, even as young as infancy, we are bound to group visual elements into unitary structures in accordance with a variety of organizational principles. Here, we focus on the developmental trajectory of both connection‐based and object‐based grouping, and investigate their impact on object formation in participants, aged 9–21 years old (N = 113), using a multiple‐object tracking paradigm. Results reveal a main effect of both age and grouping type, indicating that 9‐ to 21‐year‐olds are sensitive to both connection‐based and object‐based grouping interference, and tracking ability increases with age. In addition to its importance for typical development, these results provide an informative baseline to understand clinical aberrations in this regard.

Statement of contribution

What is already known on this subject?

• The origin of the Gestalt principles is still an ongoing debate: Are they innate, learned over time, or both?
• Developmental research has revealed how each Gestalt principle has its own trajectory and unique relationship to visual experience.
• Both connectedness and object‐based grouping play an important role in object formation during childhood.

What does this study add?

• The study identifies how sensitivity to connectedness and object‐based grouping evolves in individuals, aged 9–21 years old.
• Using multiple‐object tracking, results reveal that the ability to track multiple objects increases with age.
• These results provide an informative baseline to understand clinical aberrations in different types of grouping.

     

The Characteristic Objects Method: A New Distance‐based Approach to Multicriteria Decision‐making Problems

Multicriteria decision‐making (MCDM) methods are concerned with the ranking of alternatives based on expert judgements made using a number of criteria. In the MCDM field, the distance‐based approach is one popular method for obtaining a final ranking. The technique for order preference by similarity to the ideal solution (TOPSIS) is a commonly used example of this kind of MCDM method. The TOPSIS ranks the alternatives with respect to their geometric distance from the positive and negative ideal solutions. Unfortunately, two reference points are often insufficient, especially for nonlinear problems. As a consequence of this situation, the final result ranking is prone to errors, including the rank reversals phenomenon. This study proposes a new distance‐based MCDM method: the characteristic objects method. In this approach, the preferences of each alternative are obtained on the basis of the distance from the nearest characteristic objects and their values. For this purpose, we have determined the domain and Fuzzy number set for all the considered criteria. The characteristic objects are obtained as the combination of the crisp values of all the Fuzzy numbers. The preference values of all the characteristic object are determined on the basis of the tournament method and the principle of indifference. Finally, the Fuzzy model is constructed and is used to calculate preference values of the alternatives, making it a multicriteria model that is free of rank reversal. The numerical example is used to illustrate the efficiency of the proposed method with respect to results from the TOPSIS method. The characteristic objects method results are more realistic than the TOPSIS results. Copyright © 2014 John Wiley & Sons, Ltd.