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Prior research suggests that decision-makers can be biased by anecdotal data, even in the presence of more informative statistical data. A bias for anecdotal data can have significant implications for managers since judgments are often made when both statistical and anecdotal data are present. However, since much of the prior research has been conducted primarily on non-professionals engaged in unfamiliar tasks, it is unclear whether anecdotal biases will occur in managerial decision-making, where training and professional duties may reduce the effects of such a bias. Smith and Kida (1991) note, for example, that judgment biases are often mitigated or modified when trained professionals perform job-related tasks. In this study, managers and others with significant business experience were asked to make a capital budgeting decision in the presence of both statistical and anecdotal data. The results indicate that decision-makers ignored, or underweighted, statistical data in favor of anecdotal data, leading to suboptimal decisions. However, a scientific judgment orientation decision-aid did help to mitigate the effects of that bias. The implications of these results for decision-making in managerial accounting are discussed.

This paper aims to analyze how judgment bias (optimism vs pessimism) and temporal distance influence self-control decisions. This research also analyzes the mediating role of perceived control on judgment bias and temporal distance.

Three studies (one laboratory and two online experiments) analyze how judgment bias and temporal distance influence self-control decisions on consumers’ willingness to pay.

The findings uncover an important boundary condition of temporal distance on self-control decisions. In contrast to previous research, the findings indicate that individuals exposed to optimism (vs pessimism) bias display more self-control in the future and make choices that are more indulgent in the present. The findings also reveal that perceived control mediates the effects of judgment bias and temporal distance.

The findings help managers to adapt short- and long-term marketing efforts, based on consumers’ momentary judgment biases and on their chronic judgment bias orientation.

This research contributes to the literature on self-control and temporal distance, showing that judgment bias reverses previous research findings on self-control decisions.

The purpose of this study is to investigate the effect of Chinese auditors' personal values (guanxi and ethical orientations) on their ethical reasoning (ethical judgments and behavioral intentions). In addition, this study aims to explore the joint effect of guanxi and ethical orientation on auditors' ethical reasoning.

This study is based on a field survey of 191 auditors working in Certified Public Accounting (CPA) firms that operate in the People's Republic of China (China).

The main findings indicate that guanxi and relativism orientations negatively associate with, while idealism orientation positively associates with, auditors' ethical judgments and behavioral intentions. However, when decomposing the overall ethical judgment into three judgment groups, the main effects of guanxi and ethical orientations on auditors' ethical judgments become marginal and those effects fully hold only when using acceptability as criteria to judge questionable behavior in the vignettes. In addition, the results of the joint effect of guanxi and ethical orientations indicate that guanxi orientation weakens both the positive effect of idealism and the negative effect of relativism orientations on auditors' ethical reasoning.

This study contributes the literature by investigating the ethical reasoning of auditors in a country with a relatively weak legal system that relies on guanxi (literally, interpersonal relationships and connections) culture to operate business. Furthermore, this study extends the literature by documenting the moderating effect of guanxi orientation on the relation between auditors' ethical orientation and their ethical reasoning.

The purpose of this paper is to examine the effects of self-efficacy, goal orientation and task complexity on audit judgement performance in correctly linking audit procedures to audit objectives and types of misstatements.

The authors conducted an experiment audit with 154 auditors from small and medium audit firms in Malaysia as participants. The experimental task required them to link audit procedures to audit objectives and types of misstatements.

For sample of auditors from small and medium audit firms in Malaysia, the authors found that learning goal orientation has a stronger effect on audit judgement performance than performance-approach and performance-avoidance goal orientations. Self-efficacy mediates the effect of goal orientation when an audit task is less complex compared to when the task is more complex.

These results highlight the importance of social cognitive factors in explaining variations in audit judgement performance for audit judgement tasks with different levels of complexity.

The incorporation of individual psychological differences as explanatory variables in audit judgement studies may lead to a better understanding of auditors’ judgement and decision-making processes in small and medium audit firms located in developing economies.

The purpose of this study is to construct and test a new measure of auditor orientation using two audit quality-related tasks.

The sample consists of 66 Dutch and US graduate auditing students. Participants complete two tasks: one involving a lease classification and another, supplemental experiment involving a contingent liability judgment. The purpose is to construct a new measure for rules-based/ principles-based orientation. Rigorous, psychometric testing confirms that parts of tolerance for ambiguity (TOA) and need for cognition (NFC), together, form a new construct the authors identify as auditor orientation. The authors next conduct a main and supplemental experiment with novice auditor participants from both the USA and the Netherlands.

The authors begin with rigorous, psychometric testing using participants from the USA and the Netherlands. The resulting 10-item scale combines parts of TOA and NFC to reflect auditor orientation. The common themes across scale items are high (low) adaptability to complexity and a substance-over-form (form-over-substance) preference for principles-oriented (PO) (rules-oriented [RO]) auditors. Conducting two experiments, results from two distinct tasks confirm our research question; novice auditors classified as RO (PO) are more (less) likely to recommend a more aggressive/client-favorable disclosure judgment.

Auditor orientation (i.e. rules or principles) has a significant impact on the application of rules-based or principles-based standards. How the standards are applied, therefore, influences auditor decision-making and thus audit quality. However, there is a paucity of auditor orientation research to date, including a validated measure. The study contributes a new measure for future research in the related accounting standards and audit quality literatures, while also identifying a potentially important construct in auditor training.

Even though the definitions of morality may seem to provide straightforward criteria to assess the morality of individuals, moral judgments are challenging and less exact. This paper aims to advance extant work on morality and moral judgment by providing a conceptualization of boundary conditions in the relationship between moral judgments and consumer behavior.

An interdisciplinary literature review is conducted to integrate extant knowledge on morality, moral judgment and consumer behavior to identify and conceptualize boundary conditions affecting moral judgments and decision-making. The research draws on moral foundation theory and norm activation model, and the proposed factors and relationships are grounded in construal level theory and regulatory focus theory.

The research identifies cultural, individual and situational factors that influence moral judgments and decision-making and argues that moral judgments exhibit a similar pattern across types, but cultural factors determine the salience of each moral foundation type. Moreover, construal factors relevant to the situation (i.e. proximity vs distance) affect the extent and manner of moral judgments, and individual mindsets and their associated information processing styles (e.g. money vs time orientation and promotion vs prevention orientation) make moral judgments more malleable, adding a degree of variability to judgments within similar cultures and situations.

The research makes a rather unique contribution to consumer morality literature by identifying and discussing three different groups of factors with the potential to impact individuals’ judgments of, and reactions to, moral foundation violation information.

Since a significant source of food waste on the consumer end is the reluctance to purchase or consume imperfect products, it is vital for businesses to learn how to affiliate their products with social and ecological causes. This study explores whether firms' communication of suboptimal food information to reduce food waste affects consumer perceptions and behaviors based on social exchange theory.

A factorial between-subjects experiment designed with 4 (environmental claims) × 3 (suboptimal food) is used to design 12 scenarios. The measurement scales of variables are adapted from the literature. ANCOVA and structural equation modelling (SEM) analyses were performed to test study hypotheses using a total of 745 valid samples collected via a web-based questionnaire after testing manipulation checks, reliability and validity.

Among the four types of environmental claims, product orientation and environmental fact claims improve consumers' attitudes, ethical judgments and purchase intentions toward suboptimal food. The effect of ethical judgments on purchase intention is higher than that of attitudes. Additionally, purchase intention is a vital predictor of sustainable consumption and plays a significant mediating role between the variables.

The findings of this study address gaps in the literature, which lacks investigations into the effects of communication information about suboptimal food on consumer attitudes and behaviors. Unlike traditional questionnaires using scale items to measure independent variables, the quasi-experimental design with stimulus materials used in this study can reveal the varied effects of different environmental claims.

Sustainable regional development is often accompanied by the introduction and gradual implementation of innovative concepts, like, e.g. “integrated natural resources management” or “sustainable tourism”. From a managerial perspective, in order to contribute to improved sustainable regional development, the innovative concepts need to become rooted in everyday policy practice in such a way that they enable rather than hinder collective action. The paper aims to discuss these issues.

Enabling collective action is a managerial challenge that is partly dependent on the presence of a sufficient degree of integration in the governance system that forms a context for the action. This challenge can be studied with the help of the concept of boundary judgments. Boundary judgments are normative and cognitive perceptions of actors on the relevancy of specific actors, factors, issues, etc. for their domain of action (what is “fit”, what is acceptable, what is needed?). The paper illustrates the importance of boundary judgments through two empirical studies in The Netherlands.

Divergent boundary judgments hamper the inclusion of the innovative concept in everyday actions for improving sustainable regional development. However, managers avoiding this complexity by relying on old definitions of their tasks also block the possible innovation. The challenge is to keep the balance between these two extremes.

The paper explains and illustrates the concept of “boundary judgments” and their importance for different types of managers (project leaders and policy makers) to take them into account, alongside the more obvious variation of values and interests among stakeholders.

Where do all the management theories and fads come from? Why are they so different and constantly changing. This paper develops a comprehensive and dynamic cognitive formwork from an understanding of the formulations of Aquinas, Lonergan, Jung, Weber and the Enneagram. The synthesis is new and goes beyond each of the sources to present a more systematic and useable JEWAL synthesis formwork. First, the neo‐platonic hierarchical structure of triadic unity is identified as a particularly pertinent and effective differentiation of reality. Second, whereas the neo‐platonists developed their hierarchical construction of reality from a meta‐physical viewpoint as emanations from the ultimate unity, later philosophers explained the differentiation of consciousness principally by working in the reverse direction. Third, the paper explains the process of learning in terms of the cognitive procession through the layered levels of differentiated consciousness. Fourth, an explanation follows as to how this cognitive formwork can be used to explain a character typology based on the differentiation of consciousness – one that finds expression in a typology commonly known as the Enneagram. Fifth, the JEWAL synthesis formwork is presented as a comprehensive framework in which to understand human governance and social action. More broadly, the paper discusses the significance for the social sciences of achieving such a synthesis of ideas within this new formwork – a synthesis between the Western developed philosophy, which runs through the work of Aquinas, Lonergan, Weber and Jung, and the Eastern physio‐psychological wisdom encapsulated in the Enneagram typology. In conclusion, the paper attempts to bring it all together in an answer to the questions underpinning the paper; namely, what does it mean to know and how do we make sense of those voices that speak out of that knowing.

There is a double crisis in modern science and in particular in physics and mechanics. Among others Einstein and Stephane Lupasco, in the 1930s, warned about this crisis. The Quantum Theory cannot be reconciled with the Relativity Theory. Specifically there is a gap (cleavage) between micro – and macro‐physics and mechanics. Parallel or beneath there is also a second crisis derived from a discontinuity (again a cleavage) between classical and modern science, that is between two previous revolutions. A new research programme of a simultaneous equilibrium versus disequilibrium approach, initially applied in economics has now been extended to include natural sciences. It is the question of a new, more comprehensive methodology which is actually a sui generis synthesis between classical and modern heritage. The rigorous application of the new research programme leads to the organisation of an Orientation Table, that is, a methodological map of all possible combinations (systems). The Table shows, without any exaggeration, a few revolutionary results. For instance, with the help of the Table, modern science or the second revolution (Einstein, Bohr, Heisenberg) does not appear contradictory but rather complementary to classical science or the first revolution (Newton, Lavoisier). The Kuhnian thesis to the contrary is disproved and the second crisis is solved. With the help of the Universal Hypothesis of Duality (the basis of the Orientation Table), matter and energy, at the micro – and macro‐level, appear in a double form (the Principle of Duality): stable (equilibrium) particles and unstable (disequilibrium) waves. The strong interactions from modern physics are associated with the law of gravitation (attraction) or stable equilibrium which governs stable matter and energy. The weak interactions are associated with the law of disgravitation (dispersion or repulsion) including entropy or unstable equilibrium which governs unstable matter and energy. In this way the first crisis is also solved.