COMMERCE 1BA3 Lecture Notes - Lecture 11: Groupthink, Group Polarization

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Can make higher quality decisions bc diversity; can push each other with ideas. Diffusion of responsibility: the ability of group members to share the burden of the negative consequences of poor decisions; bad for social loafers bc they think the whole groups takes on the consequences but at the same time 1. time - not as quick/efficient as individual bc process losses/more debating/coordinating. 2. conflict - more of it; but can be good; inability to manage it is the problem; personal agendas to fight for/ political wrangling. 3. domination - one person can intimidate others (social inhibition) Damages 3things: mental efficiency, reality testing, and moral judgment of decision making groups. Conform but not too much where everyone thinks the same. How do groups handle risk? (what"s the diff bet"n the two) Risky shift: security in numbers; diffusion of responsibility; makes riskier decisions bc shared consequences; enticed.

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