Noncompensatory Strategies Research Articles

The Influence of Cause-Related Marketing on Consumer Choice: Does One Good Turn Deserve Another?

Are consumers more likely to select brands offered by companies that engage in cause-related marketing (CRM)? Somewhat surprisingly, little evidence exists that directly addresses this issue. Accordingly, the present examination investigates whether and when CRM efforts influence consumer choice. The results from several studies indicate that information regarding a company’s support of social causes can affect choice. However, CRM’s influence on choice is found to depend on the perceived motivation underlying the company’s CRM efforts as well as whether consumers must trade off company sponsorship of causes for lower performance or higher price. The results also indicate that CRM cues affect choice primarily through compensatory strategies involving trade-offs rather than through noncompensatory strategies. Implications of the current findings for existing theory are discussed along with directions for future research.

Assessing the empirical validity of the "Take-the-best" heuristic as a model of human probabilistic inference.

The boundedly rational 'Take-The-Best" heuristic (TTB) was proposed by G. Gigerenzer, U. Hoffrage, and H. Kleinbölting (1991) as a model of fast and frugal probabilistic inferences. Although the simple lexicographic rule proved to be successful in computer simulations, direct empirical demonstrations of its adequacy as a psychological model are lacking because of several methodical problems. In 4 experiments with a total of 210 participants, this question was addressed. Whereas Experiment 1 showed that TTB is not valid as a universal hypothesis about probabilistic inferences, up to 28% of participants in Experiment 2 and 53% of participants in Experiment 3 were classified as TTB users. Experiment 4 revealed that investment costs for information seem to be a relevant factor leading participants to switch to a noncompensatory TTB strategy. The observed individual differences in strategy use imply the recommendation of an idiographic approach to decision-making research.

Tentative guidelines to help choosing an appropriate MCDA method

Despite the development of a large number of refined multicriterion decision aid (MCDA) methods, none can be considered as the `super method' appropriate to all decision making situations. Hence, how can one choose an appropriate method to a specific decision situation? Recent experimental studies in psychology and behaviour have revealed, on the one hand, that the human thinking is not to be modelled by logical rules and calculations, and, on the other hand, that the response mode affects the preference formation as well as the use of compensatory or noncompensatory strategies. The aim of this paper is to draw a conceptual framework for articulating tentative guidelines to choose an appropriate MCDA method. This paper also presents the results of the comparison of well known multicriterion aggregation procedures (MCAP) on the basis of these guidelines. In our opinion this study can constitute a first step for proposing a methodological approach to select an appropriate MCDA method to a specific decision making situation. Such an approach should be validated and may be integrated into a decision support system. Moreover, the framework suggested is helpful to develop useful methods and to address neglected issues within the field.

Interpretation of Issues and Voter Decision-Making Strategies: A New Perspective on “Issue-Oriented” Election Coverage

This study investigated the relationship between ethical and societal interpretations of issues and voters' decision-making strategies within systematically varied electoral issue environments. Analysis across two issue milieus using two measures of the decision-making process found that individuals who ascribed an ethical interpretation to issues were more likely to use a noncompensatory strategy, which focuses on one or two key issues in the decision-making process, than individuals who ascribed a societal interpretation to issues. This relationship held when the number of issues considered important and the importance placed on “social-moral” issues each were controlled.

Type A behavior pattern and decision making strategies

The present study investigated patterns of decision making strategies among Type A and Type B individuals. Seventy students were presented with decision problems representing typical dilemmas from their everyday life. Each problem contained three alternatives that differed from each other on several relevant dimensions, and was constructed specifically for the individual subject by using his/her own estimated dimensions weights obtained prior to the decision making task. The decision problems were presented with instructions requiring either fast performance, high-quality performance, both fast and high-quality performance, or none (i.e. control). It was found that Type A and Type B subjects exhibited similar dimension weights and did not differ in their ability to differentiate between the various dimensions, or in their intolerance of ambiguity level. Type As performed faster than Type Bs on the decision problems, but most important, Type As used a more non-compensatory strategy, choosing the alternative which was highest in its value on the most important dimension. It was concluded that when confronted with a decision problem, Type As filter the most important information and choose accordingly, thereby avoiding gross errors. The results suggested that a cognitive component be added to the action-emotion complex that describes the Type A Behavior Pattern.

The impact of using forced decision‐making strategies on post‐decisional confidence

AbstractThe impact of motivational and cognitive factors on post‐decisional confidence (PDC) level was tested in two experiments. In the first experiment, subjects were first identified as having an intuitive preference toward using either a compensatory or a noncompensatory decision strategy and later on were forced to use either a compatible or a non‐compatible strategy. PDC level decreased after using a noncompensatory strategy, and the decrease was higher when it was a noncompatible strategy. In a second experiment, subjects received feedback about their preferred strategy but were not later forced to use any specific strategy. Most subjects continued to utilize their preferred strategy and PDC level was not changed. Overall, intuitive PDC was not found to be sensitive to differences between compensatory and noncompensatory strategies. The result suggested that PDC is a function of an internal cost‐benefit analysis which includes both cognitive and motivational factors.

A Comparison of Machine Learning with Human Judgment

This paper compares human judgment with machine learning in a check processing context. An experiment was conducted comparing teams of subjects with three commercially available machine learning algorithms: recursive partitioning, ID3, and a back-propagation neural network. Also, the statistical technique discriminant analysis was compared. The subjects were allowed to induce rules from historical data under ideal human conditions, such as adequate time and opportunity to sort the data as desired. The results on multiple holdout samples indicate that human judgment, recursive partitioning, and the ID3 algorithm were equally accurate and more accurate than a back-propagation neural network. Subjects who chose mixed strategies of judgment were more accurate than those using noncompensatory strategies, while no subjects chose compensatory strategies. Large decision trees were not more accurate than smaller ones. There appeared to be a time threshold for humans to form accurate decision rules. Holdout sample accuracy tended to increase with primary sample accuracy. ID3 built larger trees than did either humans or recursive partitioning. The conclusion of this research is that the knowledge engineer faced with available historical data concerning a classification problem should not waste his time discerning rules, since he will only take longer and be no more accurate than a good learning tool. Knowledge of these tools will be the requisite skill for the knowledge engineer of the 1990s. Implications for IS design and further research are discussed.

Information search and choice accuracy as a function of task complexity and task structure

Previous research has consistently shown that subjects switch to noncompensatory information search behaviour when task complexity increases. However, a rather specific class of tasks was used in these studies for which complete information search is not necessary to attain accurate task performance. In the present study information search behaviour, choice accuracy, subjective difficulty and confidence were registered under various task complexity conditions in two different task environments. In the first task, subjects had to make a choice between apartments; in the second task, a choice was required between baskets containing groceries of different prices. Forty subjects made choices by means of computerized information boards. The results showed effects of both complexity and type of task on information search behaviour. The lowest proportion of requested information and the most variable search pattern was observed for the apartments task in the complex task condition. However, accuracy remained constant over all complexity conditions. Together, the results suggest that under high task complexity levels subjects try to work smarter rather than harder. In the context of a choice requirement the specific task structure may allow them to switch to noncompensatory strategies while maintaining accuracy and avoiding the integration of large amounts of information.

Children's decision-making examined with an information-board procedure

An information-board procedure adopted from adult decision-making research was used to examine the development of decision-making skills. Differences in the decision-making of 2nd-, 5th-, and 8th-grade children were found, particularly in terms of their search for predecisional information. In general, second graders were exhaustive yet less systematic in their search for information, while older children's decision-making involved the use of less demanding, noncompensatory strategies. All of the children's predecisional search, however, was influenced by characteristics of the decision task, such as the amount of information available.

The Role of Personal Tendencies in the Selection of Decision-Making Strategies

It was hypothesized that strategy selection in decision making is dependent both on a basic tendency toward using a specific strategy and a cost benefit analysis that favors the utilization of a strategy that yields the highest net gain. In the present study, the influence of a priori tendencies on the selection of compensatory or noncompensatory strategies was tested. Twenty female student nurses participated in a decision making experiment, and, as hypothesized, a significant relationship was found between tendencies and actual utilization of decision strategies.

Process tracing methods: Contributions, problems, and neglected research questions

Process tracing approaches such as verbal protocol analysis and information board methodologies have been developed to study the cognitive processes underlying decision making. This review summarizes the growing body of literature using process tracing approaches to study decision making. Fortyfive studies were identified for this review and study characteristics were coded. The results firmly demonstrate that noncompensatory strategies were the dominant mode used by decision makers. Compensatory strategies were typically used only when the number of alternatives and dimensions were small or after a number of alternatives had been eliminated from consideration. The research also indicates that information processing in decision making is contingent on the demands of the task faced by the decision maker. Based on this review, methodological issues that could contribute to improving the rigor of process tracing research are discussed. The cost/benefit analysis framework of L. R. Beach and T. R. Mitchell (1978, Academy of Management Review, 3, 439–449) is then used as an integrative framework and as a guide for identifying needed directions for future research.

Post-decisional confidence and conflict experienced in a choice process

The present study investigated the relationships between time pressure, type of decision process, in terms of its being compensatory and non-compensatory, and post-decisional confidence. It was hypothesized that time pressure would lead to more frequent use of non-compensatory strategies and that post-decisional confidence would be higher after non-compensatory decisions than after compensatory decisions. For each subject 36 choice situations were developed such that choice of one alternative would suggest a compensatory decision process whereas choice of the other alternative would suggest a non-compensatory process. Twenty student nurses made these choices and rated their post-decisional confidence for each choice. Both hypotheses were supported although time pressure was not found to influence level of confidence. An explanation based on the amount of conflict accompanying each type of decision process was suggested.

The role of pay and market pay variability in job application decisions

The influence of pay and three other attributes on job application decisions under two sets of market conditions were examined. Consistent with economic hypothesizing, results suggested that most respondents used noncompensatory strategies to evaluate pay in making their application decisions. Moreover, both model usage and the pay importance appeared to vary as a function of market pay variability. Results are discussed primarily in terms of likely limitations to the generalizability of findings obtained from studies of attribute importance.

Task Complexity and Contingent Processing in Brand Choice

Further evidence is presented that brand choice strategy is contingent upon task complexity. When three brands were presented, subjects used a compensatory strategy. When more than three brands were presented, subjects first eliminated unacceptable alternatives using a noncompensatory strategy and then evaluated the remaining alternatives using a compensatory process.