ADMN 2220H Chapter Notes - Chapter 8: Risk Aversion, Brainstorming, Cognitive Style

• School: Trent University
• Department: Business Administration
• Course: ADMN 2220H
• Professor: Amina Malik

Document Summary

Chapter 8 decision making and creative problem solving. The four stages of the creative process: seeking out new experiences and opportunities to learn, preparation, open the individual(cid:495)s mind. Incubation: individual engages in other pursuits while the mind considers the problem and works on it, process of reflective thought, make time for reflection and relaxation. Models of decision making: rational model, bounded rationality. The intuitive decision-making models: argue that intuition, at a level below consciousness, gives the decision maker a direction, or an urge to do or not do something, managers make judgements based on (cid:494)hunches(cid:495) or gut feelings. Intuitive model assumptions: intuition is fast, intuition is utilized at a level below consciousness, intuition involves learned patterns of information, intuition is a positive force in decision making. Escalation of commitment to a losing course of action: optimism and control optimistic and overestimate vs.