The mediating role of risk perception among cognitive biases towards decision to start a new venture
| Autor: | Butt, Maheen, Nawaz, Rabia, Jamil, Nadia |
|---|---|
| Rok vydání: | 2015 |
| Předmět: |
Wirtschaft
Economics Cognitive Biases Decision to Start a New Venture Risk Perception Management Management Science Wahrnehmung Risiko Risikoabschätzung Kognition Vorurteil Unternehmensgründung Entscheidung Kapitalbildung perception risk risk assessment cognition prejudice setting up a business decision capital formation |
| Zdroj: | International Letters of Social and Humanistic Sciences, 54, 88-95 |
| Druh dokumentu: | Zeitschriftenartikel<br />journal article |
| ISSN: | 2300-2697 |
| DOI: | 10.18052/www.scipress.com/ILSHS.54.88 |
| Popis: | The Objective of the study is to investigate the relationship of overconfidence bias and illusion of control bias towards the start of new venture, with the mediating role of risk perception in context of Pakistan. To understand the relationship, this study developed and tested hypothesis by correlation and regression analysis. This study's sample consisted of 170 students pursuing a Masters of Business Administration. The students' responses to a survey based on a case study regarding a decision to start a venture were examined. This study found illusion of control and risk perceptions have significant effect on decision to start new venture. Conversely, overconfidence bias has insignificant relationship with decision to start new venture. The positive and negative impact of biases and perceiving low levels of risk suggest the importance of exploring the area of venture formation. As this study has incorporated two biases but many other biases should also be considered that effect human decision making process like self-efficacy, availability heuristics, law of small numbers and escalation of commitment. |
| Databáze: | SSOAR – Social Science Open Access Repository |
| Externí odkaz: |
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