Table 10.3
Nancy recently tried to talk her executive management team into moving into
international markets. She emphasizes the positive opportunities that were possible, but
her supervisors turn her idea down because they fear the risks involved. They preferred
expanding existing markets to entering new markets. Nancy reviews the meeting with
her supervisor later to see how she could improve it. Her supervisor says that she didn’t
provide sufficient information prior to the meeting and several of the executives were
drawing on information currently on their desks, showing the international market was
a dangerous place to be, rather than the exciting opportunity Nancy tried to present.
Gail, Nancy’s friend, suggested at lunch that the ‘old-boys’ network was functioning,
and she was turned down because they weren’t going to let some pushy woman tell
them what they should be doing. About four months after the presentation, the
executive management team meets again to decide about the investment of capital and
effort. Existing markets are drying up, and if the company doesn’t move into new
markets, especially internationally, it may well fail. Obsolescence of the product line
and the growth of competition is destroying their market share and profitability.
However, the management team decides to invest more money and effort into existing
markets and to let the international idea sit.
Refer to Table 10.3. Nancy’s immediate boss’s explanation for the turndown is related
to:
A) a representativeness heuristic.
B) an availability heuristic.
C) bias toward an implicit favorite.
D) bounded discretion.
John is looking at employee perceptions, attitudes, and motives in order to improve
worker productivity. John is conducting OB research at which level?
A) Organizational
B) Group
C) Individual