M7 Flashcards
biases
negative consequences for decision-making when innovation is the goal
Projection Bias
naive realism
Ideation
the process of generating, developing and testing new ideas
New venture ideation
offering a novel and useful idea to customer who may reject it
Practical Imagination
“thinking things through”
eliminating the feasibility and desirability
Social Imagination
facilitates communication and market responsiveness
parts of entrepreneurial imaginativeness
creative, social , practical imagnativeness
Forms of entrepreneurial imaginativeness
creative, social , practical imagination
aspects of the problem-solving process
divergent aspect: generating ideas
convergent aspect: selecting ideas
creative imagination
make connections between unrelated pieces of information
third-person opportunity belief
Opportunities arising from technological change
mental simulation
relies on imagination’s cognitive ability to anticipate physical and social environments
Counterfactual thinking
mental construction of scenarios
Types of cognitive biases
Planning fallacy
Endowment effect
Availability biases
Focusing illuison
Egocentric empathy gap
overestimate the similarities between values
Focusing Illusion
ex (not passing the DSA midterm )
overestimate the effect of one factor
The endowment effect
ex. loosing the iphone XR
giving something up is more painful that the pleasure of getting something new
The availability bias
ex Creating a solution to the NST Project
undervalue options that are harder to imagine
The planning fallacy
ex. Computer vision midterm
When decision makers succeed at creating new ideas and they are overconfident, and full with optimism during the process
Mitigating biases Category I
“inability to see beyond”
inability to see beyond decision-makers and escape their own past
Mitigating biases Category II
“accurate feedback”
inability of their users or customers to provide accurate feedback on new ideas
Mitigating biases Category III
“test the hypothesis”
decision-makers’ ability to test the hypotheses they have developed: overoptimism,
