The last two promotions within a firm involved individuals who completed the same advanced managerial program. As a result, the company president has stipulated that all future management hires must be graduates of that program. This behavior is typical of someone who has which one of the following characteristics?
A) Endowment effect
B) Framing effect
C) Representativeness heuristic
D) Narrow framing
E) Affect heuristic

Question

Quizplus · Accepted Answer

This scenario is an example of the representativeness heuristic, where the company president is relying on his perception that individuals who complete the advanced managerial program will be representative of the type of manager the company wants. This assumption may not necessarily be true, and the president is ignoring other important factors such as experience, skills, and performance.

The Last Two Promotions Within a Firm Involved Individuals Who