The Anchoring Effect Describes When Decision Makers Fixate on Initial

question 11

True/False

The anchoring effect describes when decision makers fixate on initial information as a starting point and then, once set, fail to adequately adjust for subsequent information.

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Definitions:

Local Environment

The immediate surroundings or conditions in which an organization operates, including the social, cultural, and economic aspects influencing its performance.

Organisational Culture

The shared values, beliefs, and norms that influence the way employees behave within an organization.

Institutional Identity

The unique set of characteristics, values, and culture that defines an organization and distinguishes it from others.

Mission Statement

A concise declaration of an organization's core purpose and focus that informs its strategies, decisions, and operations to guide it towards its goals.