Question 1

An organization asks its employees to reframe the problems in a unique way and generate different approaches to the problems.Which of the following stages in the creative process would assist this?
A)Verification
B)Preparation
C)Experimentation
D)Illumination
E)Incubation

Accepted Answer

Here, the organization is promoting divergent thinking.Incubation assists the process of divergent thinking.

Question 2

Which of the following is assisted by incubation in the creative process?
A)Escalation of commitment
B)Prospect theory effect
C)Convergent thinking
D)Divergent thinking
E)Decision choice

Accepted Answer

Incubation assists divergent thinking-reframing the problem in a unique way and generating different approaches to the issue.

Question 3

Incubation and verification are the:
A)stages of the creative process.
B)elements of bounded rationality.
C)elements of the MARS model.
D)stages of team decision making.
E)two steps in perceptual modeling.

Accepted Answer

Preparation, incubation, illumination, and verification are the four stages of the creative process.

Question 4

_____ is the tendency to experience stronger negative emotions when losing something of value than the positive emotions experienced when gaining something of equal value.
A)Implicit favoritism
B)Bounded rationality
C)Intuition
D)Nonprogrammed decision making
E)Prospect theory effect

Accepted Answer

Escalation of commitment is partly fueled by the prospect theory effect.This is the tendency to experience stronger negative emotions when losing something of value than the positive emotions experienced when gaining something of equal value.

Question 5

Escalation of commitment can be minimized by ensuring that:
A)there are ready-made alternatives to resolve the problem.
B)those who make the decision are different from those who implement and evaluate it.
C)the team leader has strong opinions about the preferred options for a problem.
D)organizational goals are relatively ambiguous.
E)negative information is screened out to protect the self-esteem of the decision makers.

Accepted Answer

One of the most effective ways to minimize escalation of commitment and confirmation bias is to ensure that the people who made the original decision are not the same people who later evaluate that decision.

Question 6

Establishing a preset level at which the decision is abandoned or reevaluated is recommended mainly to:
A)minimize reliance on an implicit favorite.
B)avoid relying on mental models to recognize problems or opportunities.
C)minimize escalation of commitment.
D)minimize problem identification.
E)reduce the incidence of satisficing.

Accepted Answer

One of the strategies to minimize escalation of commitment is to publicly establish a preset level at which the decision is abandoned or reevaluated.This is similar to a stop-loss order in the stock market, whereby the stock is sold if it falls below a certain price.

Question 7

In the creative process, which of the following refers to the experience of suddenly becoming aware of a unique idea?
A)Incubation
B)Illumination
C)Preparation
D)Verification
E)Convergent thinking

Accepted Answer

Illumination (also called insight), the third stage of creativity, refers to the experience of suddenly becoming aware of a unique idea.

Question 8

After choosing among several computer server systems, the Director of Information Systems feels very positive about the final choice.However, some of this optimism is due to the fact that the Director forgot about few of the limitations of the chosen system and unconsciously downplays the importance of the positive features of the rejected systems.The Director of Information Systems is engaging in:
A)escalation of commitment.
B)rational maximization.
C)rational choice thinking.
D)confirmation bias.
E)impulsive buying.

Accepted Answer

The Director is engaging in confirmation bias.Confirmation bias is the "unwitting selectivity in the acquisition and use of evidence." When evaluating decisions, people with confirmation bias ignore or downplay the negative features of the selected alternative and overemphasize its positive features.

Question 9

A marketing specialist needed to find a new way of marketing the company's main product to its potential clients.While watching a movie one evening, the marketing specialist saw a scene that gave her inspiration for a new marketing plan.According to the creative process model, which of the following is the next stage in the creative process after such inspiration?
A)Preparation
B)Incubation
C)Verification
D)Illumination
E)Morphological analysis

Accepted Answer

Illumination is the third stage of creativity.It refers to the experience of suddenly becoming aware of a unique idea.The marketing specialist suddenly became aware of a new marketing plan while watching a movie.The given situation is an example of an illumination.Illuminations are merely rough ideas.Their usefulness requires verification through detailed logical evaluation, experimentation, and further creative insight.That is, for this marketing specialist, verification is the next stage in the creative process.

Question 10

You have just received seed money for a new e-commerce business and you want to hire a dozen people with a high level of creative potential.To hire the most creative people, you would select applicants who have:
A)no experience in this industry, high analytic intelligence, and relatively low need for achievement.
B)high degree of nonconformity, value self-direction, and relatively low need for affiliation.
C)strong mental models regarding their field of knowledge, high synthetic intelligence, and relatively high need for social approval.
D)high need for affiliation, high need for achievement and high need for social approval.
E)low openness to experience, high need for social approval, and relatively low need for affiliation.

Accepted Answer

Creative people possess a cluster of personality traits and values that support an independent imagination: high openness to experience, moderately low need for affiliation, and strong values around self-direction and stimulation.

Question 11

When decision makers choose to continue an existing course of action because it is the less painful option at the time, this is known as:
A)prospect theory effect.
B)sunk costs effect.
C)self-justification effect.
D)self-enhancement effect.
E)satisficing.

Accepted Answer

Prospect theory effect is the tendency to experience stronger negative emotions when losing something of value than the positive emotions when gaining something of equal value.

Question 12

The most accurate view of intuition is that it is:
A)a trait that people acquire mainly through heredity.
B)more likely to be found in men than women.
C)acquired more quickly by people whose careers extend to several unrelated industries.
D)the ability to know when an opportunity exists and select the best course of action without conscious reasoning.
E)an unacceptable way of making decisions in an organizational setting.

Accepted Answer

Intuition refers to the ability to know when a problem or opportunity exists and to select the best course of action without conscious reasoning.

Question 13

The illumination stage in the creative process:
A)provides a tested solution to complex problems.
B)occurs after the verification stage in the process.
C)generates long-lasting thoughts in the memory.
D)is characterized by convergent thinking.
E)can be quickly lost if not documented.

Accepted Answer

Illumination refers to bits of inspiration and can be quickly lost if not documented.

Question 14

Which of the following refers to calculating the conventionally accepted "right answer" to a logical problem?
A)Divergent thinking
B)Convergent thinking
C)Logical validity
D)Escalation of commitment
E)Confirmation bias

Accepted Answer

Incubation assists divergent thinking-reframing the problem in a unique way and generating different approaches to the issue.This contrasts with convergent thinking-calculating the conventionally accepted "right answer" to a logical problem.

Question 15

People tend to be more creative when they:
A)have a reasonable level of job security.
B)are secluded from others in the organization.
C)are under extreme time-pressure.
D)have relatively low experience.
E)have low openness to experience.

Accepted Answer

Companies foster creativity by providing a comfortable degree of job security, which explains why creativity suffers during times of downsizing and corporate restructuring.

Question 16

Which of the following decision-making activities tends to make the most use of tacit knowledge?
A)Intuition
B)Decision support systems
C)Escalation of commitment
D)Data mining
E)Intelligent systems

Accepted Answer

The key distinction is that intuition involves rapidly comparing our observations with deeply held patterns learned through experience.These templates represent tacit knowledge that has been implicitly acquired over time.

Question 17

Prospect theory and closing costs are two reasons why people:
A)engage in escalation of commitment.
B)define problems in terms of preferred solutions.
C)make non-programmed decisions rather than programmed decisions.
D)demonstrate satisficing behaviors.
E)encourage employee involvement.

Accepted Answer

Four of the main influences that lead to escalation of commitment include self-justification, prospect theory effect, self enhancement, and sunk costs.

Question 18

Which of the following statements is true about scenario planning?
A)It is unwittingly selective in the acquisition and use of evidence.
B)It is the process of planning a solution based on employee preferences.
C)It is a disciplined method for imagining possible futures.
D)It is an act of reframing the problem in a unique way and generating different approaches to the issue.
E)It is the act of calculating the conventionally accepted right answer to a logical problem.

Accepted Answer

Scenario planning is a disciplined method for imagining possible futures.It typically involves thinking about what would happen if a significant environmental condition changed and what the organization should do to anticipate and react to such an outcome.

Question 19

The first stage of the creative process is:
A)divergent thinking.
B)preparation.
C)experimentation.
D)illumination.
E)intuition.

Accepted Answer

The first stage of the creative process is preparation-the process of investigating the problem or opportunity in many ways.Preparation involves developing a clear understanding of what you are trying to achieve through a novel solution and then actively studying information seemingly related to the topic.

Question 20

Intuition relies on programmed decision routines that speed up our response to pattern matches or mismatches.These programmed decision routines are referred to as:
A)action scripts.
B)illuminations.
C)rational formulae.
D)solution-focused problems.
E)implicit favorites.

Accepted Answer

Intuition relies on action scripts-programmed decision routines that speed up our responses to pattern matches or mismatches.Action scripts effectively shorten the decision-making process by jumping from problem identification to selection of a solution.In other words, action scripting is a form of programmed decision making.Action scripts are generic, so we need to consciously adapt them to the specific situation.

Quiz 7: Decision Making and Creativity

An organization asks its employees to reframe the problems in a unique way and generate different approaches to the problems.Which of the following stages in the creative process would assist this?

Which of the following is assisted by incubation in the creative process?

Incubation and verification are the:

_____ is the tendency to experience stronger negative emotions when losing something of value than the positive emotions experienced when gaining something of equal value.

Escalation of commitment can be minimized by ensuring that:

Establishing a preset level at which the decision is abandoned or reevaluated is recommended mainly to:

In the creative process, which of the following refers to the experience of suddenly becoming aware of a unique idea?

You have just received seed money for a new e-commerce business and you want to hire a dozen people with a high level of creative potential.To hire the most creative people, you would select applicants who have:

When decision makers choose to continue an existing course of action because it is the less painful option at the time, this is known as:

The most accurate view of intuition is that it is:

The illumination stage in the creative process:

Which of the following refers to calculating the conventionally accepted "right answer" to a logical problem?

People tend to be more creative when they:

Which of the following decision-making activities tends to make the most use of tacit knowledge?

Prospect theory and closing costs are two reasons why people:

Which of the following statements is true about scenario planning?

The first stage of the creative process is:

Intuition relies on programmed decision routines that speed up our response to pattern matches or mismatches.These programmed decision routines are referred to as: