One problem in studying managerial behavior is that firms aren’t very open about their failures. Still, a scholar trying to show that managers make mistakes won’t have many volunteers to serve as examples. This can, therefore, leave the perception that most organizations run smoothly. This has always seemed improbable to me. I’ve worked in several fields. I’ve encountered numerous committed, hardworking people…
Author: neilbendle
When Is Too Much Success A Bad Thing?
Social Psychology, and the related field of Consumer Behaviour, relies on laboratory experiments. This has great benefits. Lab experiments give the flexibility to investigate causation and test interesting ideas. They have been very successful. When is too much success a bad thing? Lab Experimentation Given the benefits of lab experiments Consumer Behavior scholars doing experimental work have come to dominate marketing. I’d…
Explaining Omitted Variable Bias
Charles Whelan’s Naked Statistics is an enjoyable and informative read. He does a very good job of simplifying statistics. He explains what statistical methods can do but also the problems that people get into using statistics. Here I’ll focus on him explaining Omitted Variable Bias. Whelan tackles this problem very clearly. Explaining Omitted Variable Bias Omitted variable bias sounds like…
Who Doesn’t Want Nudges And Competent Government?
The idea of nudging, structuring decisions to encourage people to make good choices, is surprisingly controversial. An example of a nudge might be to encourage those who are qualified to take up a social benefit or to get a tax break to do so. The nudge might be as simple as creating an easy to use application…
Canadian Voting Behavior
Canada votes in a general election on Monday. It seems a good time to consider what drives voter choice. What do we know of Canadian Voting Behavior? What Drives Canadian Voting Behavior? There are multiple explanations and most have at least some support. One popular theory is that people vote for the leaders of parties….
What Use Is An Evolutionary Definition of Rationality?
Eyal Winter’s book, Feeling Smart, is interesting but frustrating. There is much good content. Indeed, some of the stories are great. My biggest problem was the casual use of concepts. This was exemplified by the central idea of his book. He said that feelings/emotions can help you make smart decisions. I totally agree but the big problem was…
The Value Of Any Metric
The are any number of marketing metrics. (We said 50+ in the first edition of our book. That worked for us. After all, we couldn’t be bothered to count them. There are much more than 50). An obvious question is, therefore, which metrics should we bother to calculate? What is the value of any metric?…
The Problem Of Researchers Giving Advice To Managers
Translating academic research into advice for managers is a tough skill. I really don’t think we value the skill enough. We hope that researchers will effortlessly translate quality research into quality managerial advice. There seems little reason to believe this. Many otherwise excellent researchers giving advice to managers are not at their best. Researchers Giving Advice To Managers Barbara Kahn’s Global…
How Managers Decide
My second delve into Richard Thaler’s Misbehaving concerns managerial decision making. How managers decide is a massively important topic. Equilibrium Conditions Don’t Describe Any Point In Time Economic models often study equilibrium conditions. These apply where no manager will want to change their decision. Given they model this some academics seem to think that this describes…
Researchers, Teachers, And Incentives
What do we know about researchers, teachers, and incentives? Market For Stars Roger Martin, former Dean of the Rotman School at the University of Toronto, worries about the future of business schools. I absolutely believe that if business schools don’t take action in the next five years, we are looking at a GM scenario. Some 90% of…