Pengaruh Informasi Investasi Dan Overconfidence Terhadap Eskalasi Komitmen

This study aims to examine the effect of investment information and overconfidence in the commitment escalation. The population in this study were students of the Master Program in the Faculty of Economics, Padang State University. A total of 64 people agreed in this study. The hypothesis of this study is managers who experience negative investment information will tend to escalate commitments than managers who receive positive investment information managers with overconfidence will tend to escalate commitments than managers with underconfidence. Laboratory experiments with a 2 x 2 factorial design were carried out. 64 MM and MPdE students—as proxies of project managers—participate in an experiment. One-way ANOVA is used at Hypothesis test. Results that showed significant investment information on the escalation of commitments with a significance value of the One Way ANOVA analysis test of 0.00 <0.05. Overconfidence does not affect managers' decisions in escalating commitments in this study. The significance value of the One Way ANOVA analysis test was 0.74> 0.05.

ESKALASI KOMITMEN TERHADAP PROYEK-PROYEK YANG TIDAK MENGUNTUNGKAN : PENGARUH LATAR BELAKANG PENDIDIKAN DAN PENGUNGKAPAN INFORMASI SEBAGAI PEMODELAN VARIABEL

This study aims whether the variable framing is able to moderate the relationship between the variable Educational Background with Commitment Escalation Variables. This study also wants to find out whether the background of a manager (who understands Accounting VS who understands Management) has differences in making decisions about the continuation of unfavorable projects. . In addition, this study will also see whether the decision to proceed or not unprofitable projects can be moderated by framing. This study uses an experimental design, with 2 x 2 factorial, using the Anova test. The independent variable (factors) is the framing of negative and positive decision choices and educational background. Subjects who participated in this experiment were 80 people grouped into two groups. Subjects originating from the S1 Accounting Study Program at the Singapore University of Karawang (UNSIKA) consisted of 40 people, while students from the S1 Management Study Program of the Singapore University of Karawang (UNSIKA) were taken as many as 40 people. The results of this study indicate that partially educational background is able to influence commitment escalation, on the other hand, although framing partially has not been able to influence commitment escalation, framing is able to be a pure moderator for the relationship between Educational background variables and Commitment Escalation Variables.

THE INTERACTION OF INTUITION AND RATIONALITY DURING ESCALATED NPD DECISIONS: AN INVESTIGATION OF DECISION-MAKERS’ AFFECTIVE STATES

Decision-makers often struggle to terminate unsuccessful new product development (NPD) projects, so that escalating commitment occurs. Although research shows that rational and intuitive decision-making styles (DMS) as well as a decision-maker’s affective state determines the performance of NPD decisions, little is known about their influences on escalating commitment. By applying the affect infusion model in an experimental study, we investigate how a decision-maker’s affective state influence their escalating commitment by focusing on their use of a rational and an intuitive DMS. Our findings, based on 366 respondents, show that a rational DMS is unable to reduce commitment escalation. Surprisingly, an intuitive DMS is able to reduce a decision-maker’s commitment in the case of a positive affect, whereas a rational DMS increases their commitment in the case of a negative affect. Thus, our interdisciplinary research on affect and decision-making extends and contributes to research into decision-making during the NPD process as well as into escalating commitment.

Megaproject Escalation of Commitment

Megaprojects frequently go awry. Not only do a good many take a lot longer and cost a lot more than expected; the benefits may fall far short of what was promised. A question that has puzzled scholars is why organizations persist when it becomes abundantly clear that important expectations will not be met. This chapter explores a phenomenon known as “escalation of commitment.” Escalation theorists believe that once megaprojects get underway, decision makers are likely to experience mounting pressures to persist—regardless. Four main questions are addressed. How does escalation start? What drives decision makers to reinvest in economically poor megaprojects? What can decision makers do to curb project “run-aways”? How can research best help decision makers to make better—that is, more economically wise–decisions?

PENGARUH NEGATIVE FRAMING DAN ADVERSE SELECTION TERHADAP PENGAMBILAN KEPUTUSAN ESKALASI KOMITMEN: (Studi Empiris pada Mahasiswa Akuntansi Universitas Malikussaleh)

This study aims to determine the effect of negative framing and adverse selection on commitment escalation decision making. The data used in this study are primary data. The population in this study are 178 active students majoring in Accounting of economics and business faculty, Malikussaleh University in 2014. The number of samples that met the research criteria were 64 students taken using a random sampling. The method used to analyze the relationship between the independent variable and the dependent variable is the technique of analyzing two ways ANNOVA using factorial 2 x 2 designs with instruments in the form of cases.The test results show that negative framing effect on commitment escalation, adverse selction effect on commitment escalation, and negative framing and adverse selection have no effect on commitment escalation.

Escalation of Commitment in United States Collegiate Athletic Departments: An Investigation of Social and Structural Determinants of Commitment

Amid evidence of limited financial benefit, universities in the United States continue increasing their commitment to the NCAA’s highest level of competition. Consequently, it is believed that such behavior is the result of more intangible motivations by university decision makers. Using escalation of commitment theory as a framework, the authors explored social and structural determinants of increasing commitment, specifically examining the role of organizational status, former performance, and side-bets in commitment escalation. Applying a collective case study approach, the authors examined institutions (N= 10) having increased their commitment to Division I athletics within the last 10 years. Serving as the primary data source, participants (n= 35) included decision makers involved in the implementation of escalation initiatives. QSR International’s NVivo 10 software was employed for data analysis in the application of a three-step coding process. Findings revealed unique theoretical advancement in the emergence and role of organizational status in commitment escalation. Further, decision makers identified the impact of former organizational performance in the decision to increase athletic commitment. Finally, findings revealed the increased significance of organizational side-bets serving as the sole means for sustaining course of action commitment.