Emotions In Decision

Making

Group Members

AHMAD BILAL
SAFAL GHIMIRE

Does emotions helps you in

better decision making or not

What is Emotion
According to Hokenbury & Hokenbury,
2007
Emotion is a complex physiological state that
involves three distinct component; a object
experience, a psychological response and a
behavioral or expressive response
Emotion seems to rule our daily lives because
we make decisions based on whether we are
happy, angry, sad, bored or frustated

Plutchik's Wheel of
Emotions

Type of Emotions
Two types of emotions

Positive
Negative

Positive Emotion in Decision

Making
Hope

Trust

Self
Motivation

Broader Search

Co-operative
Behavior

Creative thinking

Multiple
Alternatives

Increase
Efficiency for
Decision Making

New Approach to
Solve Problem

Drawbacks of Positive
Emotions

Leads you to take risk

Keeping other emotions apart it will
lead you to the careless decision

Negative Emotion in
Decision Making
Depression

Frustation

Loss of Reward

Lack of Energy

High Uncertainty
and Low
Confidence

High Risk Options

Slower Decision
Making

Doubt

Risk Avoidance

Negative Emotions

Leads to improper processing capacity

and thinking in complex tasks.
Helps to improve decision quality by
enhance details, careful and systematic
information processing.

Conclusion

While making the decision consider

both the positive and negative sides of
the matter.
Take other emotions in considerations

When dealing with the people

remember you are not dealing with
creatures of logic, but with creatures of
emotions

References

[1] Williams, S., Zainuba, S., & Jackson, R. 2003, Affective influences on Risk Perception and Risk Intention,
Journal of managerial Psychology 18(2): 126-37.

[2] Raghunathan, R. and Pham, M. 1999, All negative moods are not equal: Motivation influences of anxiety and
sadness on decision making, Organizational human behavior and Human decision process 79 (1): 56-77.

[3] Luce, M. 1998, Choosing to Avoid: Coping with negative emotion laden consumer decisions, The Journal of
Consumer Research 24(4): 409-33.

[4] Jones, R. & George, M. 1998, The role of affect in managerial information processing and decision making,
Paper presented at the Academy of Management, San Diego, CA.

[5] Niharika Arya, The Role of Emotions in your Decision-making, viewed 2013,
http://www.buzzle.com/articles/the-role-of-emotions-in-your-decision-making.html.

[6] Oxford Dictionaries, Definition of emotion, viewed 2013,

http://oxforddictionaries.com/definition/english/emotion.

[7] Isen, A.M., & Means, B. 1983. The influence of positive affect on decision-making strategy. Social cognition,
2(1), 18-31.

THANK YOU