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Downloadable - About University

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Heuristics used for decisions involving multiple objectives 21<br />

your aspiration level such that you fall back on what is now seen as<br />

an acceptable alternative or are forced to accept a job offer that is less<br />

desirable than a job you earlier refused as unsatisfactory. Note also that<br />

satisficing is yet another example of a non-compensatory strategy. In the<br />

job search example, there were no considerations of how much holiday<br />

you would be prepared to give up for a given increase in salary. The<br />

final choice also depends on the order on which the alternatives present<br />

themselves. If you are searching for a car to buy, the car you choose will<br />

probably be different if you decide to change the order in which you<br />

visit the showrooms.<br />

Simon’s satisficing theory is most usefully applied to describe sequential<br />

choice between alternatives that become available (and indeed may<br />

become unavailable) as time passes; however, it may also be adopted<br />

in situations where, although all the alternatives are in theory available<br />

simultaneously, the alternatives are so numerous that it would be<br />

impossible in practice to consider them all in detail.<br />

Reason-based choice<br />

Reason-based choice offers an alternative perspective on the way people<br />

make decisions. According to Shafir et al. 8 ‘when faced with the need<br />

to choose, decision makers often seek and construct reasons in order<br />

to resolve the conflict and justify their choice to themselves and to<br />

others’. Reason-based choice can lead to some unexpected violations of<br />

the principles of rational decision making.<br />

First it can make the decision maker highly sensitive to the way a<br />

decision is framed. For example, consider the following two candidates,<br />

A and B, who have applied for a job as a personal assistant. Their<br />

characteristics are described below:<br />

Candidate A Candidate B<br />

Average written<br />

Excellent written<br />

communication skills<br />

communication skills<br />

Satisfactory absenteeism record Very good absenteeism record<br />

Average computer skills Excellent computer skills<br />

Reasonable interpersonal Awkward when dealing with<br />

skills<br />

others<br />

Average level of numeracy Poor level of numeracy<br />

Average telephone skills Poor telephone skills<br />

Note that candidate A is average or satisfactory on all characteristics,<br />

while in contrast B performs very well on some characteristics, but

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