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Heuristics used for decisions involving multiple objectives 19<br />

If you were to employ this strategy then you would prefer A to B and B to<br />

C. This implies that you will prefer A to C, but a direct comparison of A<br />

and C using the strategy reveals that C is preferred. This set of choices is<br />

therefore contradictory. More formally, it violates a fundamental axiom<br />

of decision analysis that is known as transitivity which states that if you<br />

prefer A to B and B to C then you should also prefer A to C. Thus a<br />

strategy, which on the face of it seemed reasonable, is irrational in that it<br />

contains inherent contradictions. 5<br />

Elimination by aspects (EBA) 6<br />

In this heuristic the most important attribute is identified and a cutoff<br />

point is then established. Any alternative falling below this point<br />

is eliminated. The process continues with the second most important<br />

attribute and so on. For example, suppose that you want to buy a car<br />

and have a list of hundreds of cars that are for sale in the local paper.<br />

You could apply EBA to the list as follows:<br />

(1) Price is the most important attribute – eliminate all cars costing more<br />

than $15 000 and any costing less than $6000.<br />

(2) Number of seats is the next most important consideration – eliminate<br />

two-seater sports cars.<br />

(3) Engine size is the third most important attribute – eliminate any of<br />

the remaining cars that have an engine less than 1600cc.<br />

(4) You want a car with a relatively low mileage – eliminate any remaining<br />

cars that have more than 30 000 miles on the clock.<br />

(5) Service history is next in importance – eliminate any car that does<br />

not have a full service history.<br />

By continuing in this way you eventually narrow your list to one car<br />

and this is the one you choose.<br />

Clearly, EBA is easy to apply, involves no complicated numerical computations<br />

and is easy to explain and justify to others. In short, the choice<br />

process is well suited to our limited information processing capacity.<br />

However, the major flaw in EBA is its failure to ensure that the alternatives<br />

retained are, in fact, superior to those which are eliminated. This<br />

arises because the strategy is non-compensatory. In our example, one of the<br />

cars might have been rejected because it was slightly below the 1600cc cutoff<br />

value. Yet its price, service history and mileage were all preferable to<br />

the car you purchased. These strengths would have more than compensated<br />

for this one weakness. The decision maker’s focus is thus on a single<br />

attribute at a time rather than possible trade-offs between attributes.

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