<DIV>Decision-making can be difficult and often results in necessary trade-offs, e.g., safety versus price in the purchasing of an automobile. This work provides a model of trade-off difficulty, focusing on its antecedents and consequences. The authors advance a new framework for the integration of...</div>

In several marketing contexts, strategic complementarity between the actions of individual players demands that players coordinate their decisions to reach efficient outcomes. Yet coordination failure is a common occurrence. We show that the well-established psychological phenomenon of...

Individuals often use several different strategies such as the expected value rule, conjunctive rule, and elimination-by-aspects, to make decisions. It has been hypothesized that strategy selection is, in part, a function of (1) the ability of a strategy to produce an accurate response and (2)...

When faced with multi-outcome gambles involving possibilities of both gains and losses, people often use a simple heuristic that maximizes the overall probability of winning (Pwin). Across three different studies, using choice data as well as process data from eye tracking, we demonstrate that...

It has been suggested in the economics literature that strongly risk-averse individuals may tend to gravitate toward large monopolistic firms rather than work for more competitive companies. In this article we provide results of an experiment designed to test this hypothesis. Operating managers...

This investigation draws upon concepts from prospect theory (Kahneman and Tversky [Kahneman, D., A. Tversky. 1979. Prospect theory: an analysis of decisions under risk. Econometrica 47 263--291.]) and multiattribute utility theory (Keeney and Raiffa [Keeney, R. L., H. Raiffa. 1976. Decisions...