What's in a Name? How Senior Managers use <scp>Name‐Based</scp> Heuristics to Allocate Financial Resources in Multinational Corporations

نویسندگان

چکیده

The allocation of financial resources to entrepreneurial initiatives in subsidiaries multinational corporations is crucial their realization. When allocating these initiatives, senior headquarters managers face uncertainty that they attempt address using various heuristics, which may bias allocation. Name-based heuristics – cognitive shortcuts based on names associated with a decision-making situation have been shown influence decisions ranging from food purchase stock investment. Yet little known about name-based the initiatives. We analyse 1308 resource made by 109 an experiment we vary subsidiary country and manager names. find psychic distance negatively related when managers' express potential expatriate status. In contrast, this relationship positive local contextualize our results interviewing discuss how reliance infer context initiative or interests competences can lead biased decisions.

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ژورنال

عنوان ژورنال: Journal of Management Studies

سال: 2022

ISSN: ['0022-2380', '1467-6486']

DOI: https://doi.org/10.1111/joms.12842