Many models of consumer behaviour assume that people evaluate price and quality independently. However, evidence shows that consumers perceive price and quality as positively related even when they are weakly correlated in the real markets. This paper explores whether this perceived relationship...

In this article, we presented evidence that people are more risk averse when investing in financial products in the real world than when they make risky choices between gambles in laboratory experiments. In order to provide an account for this discrepancy, we conducted experiments, which showed...

The relation between performance and ability is a central concern in discussions of imitation and learning - should we imitate and learn from the highest performers? Past research has illustrated how social mechanisms, combined with noise, can produce a weak or even non-existent association...

As emphasized by Barney (1986), any explanation of superior profitability must account for why the resources supporting such profitability could have been acquired for a price below their rent-generating capacity. Building upon the literature iti economics on coordination failures and incomplete...

To what extent can one infer that superior capabilities are driving sustained superior performance? Modeling performance as some combination of differences in capabilities and processes of cumulative advantage, we argue that a Bayesian framework in which decision makers take into account the...

Successfully predicting that something will become a big hit seems impressive. Managers and entrepreneurs who have made successful predictions and have invested money on this basis are promoted, become rich, and may end up on the cover of business magazines. In this paper, we show that an...

Many organizational actions need not have any immediate or direct payoff consequence but set the stage for subsequent actions that bring the organization toward some actual payoff. Learning in such settings poses the challenge of credit assignment (Minsky 1961), that is, how to assign credit for...

Business's accelerated globalization has weakened regulatory capacity of the law and scholars have been paid attention to fraud detection in recent years. In this study, we introduced Random Forest (RF) for financial fraud technique detection and detailed features selection, variables’...

This paper features an interdisciplinary debate and dialogue about the nature of mind, perception, and rationality. Scholars from a range of disciplines — cognitive science, applied and experimental psychology, behavioral economics, biology and physiology — offer critiques and commentaries...

Organizations learn from other organizations. However, the observations available to them are typically a biased sample. The organizations that can be observed at any point in lime are the survivors of a selective process that has eliminated a large fraction of the underlying population. In...