chapter 5 perception & decision making

Perception Process of organizing and interpreting sensory impressions to give meaning to the environment.

Attribution Theory Explains how people determine causes of behavior using consensus, distinctiveness, consistency.

Fundamental Attribution Error Tendency to attribute others’ behavior to internal causes.

Self-Serving Bias Tendency to attribute success to self, failures to external factors.

Confirmation Bias Seek information that confirms beliefs, ignore contradictory evidence.

Selective Perception See only what one wants to see.

Self-Fulfilling Prophecy Expectations cause behaviors that make expectations come true.

Halo Effect One trait influences overall impression positively.

Horns Effect One negative trait influences overall impression negatively.

Projection Bias Assuming others share the same beliefs or values as oneself.

Stereotyping Assigning characteristics to someone based on group membership.

Rational Decision-Making Model Assumes complete information and logical choice of optimal decision.

Bounded Rationality Decision making with limited information, satisficing rather than optimizing.

Intuition Immediate decision-making based on experience.

Anchoring Bias Rely too heavily on the first piece of information.

Framing Bias Decision affected by the way information is presented.

Availability/Recency Bias Judge based on information most easily recalled.

Representativeness Bias Assess likelihood based on similarity to existing stereotypes.

Escalation of Commitment Persisting with a failing course of action.

Contrast Effect Evaluating by comparison with recent experiences.

Ratio Effect Probability judgments distorted by ratio presentation.

Debiasing Strategies Clarify goals, seek disconfirming evidence, increase options, avoid over-patterning.

Organizational Constraints on Decision Making Evaluation systems, rewards, rules, time, precedents.