What is non compensatory decision making?
A noncompensatory decision-making strategy eliminates alternatives that do not meet a particular criterion. A compensatory decision-making strategy weighs the positive and negative attributes of the considered alternatives and allows for positive attributes to compensate for the negative ones.
What is a non compensatory model?
Non-compensatory models limit trade-offs among attributes, or between attributes and price that preserve a given preference ordering over alternatives. Also, we identify different degrees of departure from the fully compensatory model, with important implications for optimal actions derived from a particular model.
What is the difference between compensatory and non compensatory decision rules?
A compensatory decision rule asumes that the consumer when evaluating alternatives trades off one characteristic against another. On the other hand, a non-compensatory decision rule choose a product or sevice on the basis of one or a subset of its characteristics regardless of the values of its other attributes.
What is linear compensatory rule?
Linear compensatory models, which involve tradeoffs between product attributes, have been argued to provide reasonably good predictions of choices made by non- compensatory heuristics, which do not involve tradeoffs.
What are compensatory Models?
A multi-attribute model in which one attribute compensates for another in the overall preference for an object or idea.
What is non compensatory damage?
Non-Compensatory Damages means any and all damages awarded by a court of competent jurisdiction that are penal in nature, including, without limitation, punitive, punitory, exemplary, vindictive, imaginary or presumptive damages.
What is non-compensatory damage?
What does non compensatory mean?
In evaluating alternatives, noncompensatory rules suggest that positive and negative consequences of alternatives do not compensate for each other.
What are the 5 decision rules?
Consumers use five decision rules: conjunctive, disjunctive, elimination-by-aspects, lexicographic, and compensatory. Consumers frequently use more than one rule to make a single decision.
What is a non compensatory stock option?
Noncompensatory stock options are a specific type of plan, a benefit that allows employees to buy company stock at a specific price within a specific time frame. Compensatory stock options are designed specifically to compensate employees and are subject to various tax laws.
What is the difference between compensatory and non compensatory damages?
The main difference between these two types of damages is that they are directed toward different parties of a civil claim. Compensatory damages are awarded to benefit the plaintiff and to help him or her cover the costs of an accident and/or injury. Punitive damages are awarded to punish the defendant.
What are non compensatory rules?
Definition. In evaluating alternatives, noncompensatory rules suggest that positive and negative consequences of alternatives do not compensate for each other. Types of noncompensatory rules include the Conjunctive Rule, the Disjunctive Rule, and the Lexicographic Rule.[1]
What is the difference between non-compensatory and compensatory decision making?
A noncompensatory decision-making strategy eliminates alternatives that do not meet a particular criterion. A compensatory decision-making strategy weighs the positive and negative attributes of the considered alternatives and allows for positive attributes to compensate for the negative ones.
What is the compensatory model of choice?
In the compensatory model, the consumer arrives at a choice by considering all of the attributes of a product or service (or benefits from a product or service) and by mentally trading off the alternative’s perceived weaknesses on one or more attributes with its perceived strengths on other attributes.
How do you support noncompensatory decision-making on your product listings?
Wayfair.com: Product-listing pages included a large set of filter options to support noncompensatory decision-making by allowing users to eliminate all items that don’t meet certain needs. For sites with large inventories, filters are critical. Without them, users can easily feel overwhelmed by all the choices and will often abandon the site.
Why do people use compensatory strategies?
Compensatory strategies put a load on the working memory and, because of that, can be used only when there are few alternatives. Understanding why and how people use these two decision-making strategies allows us to design interfaces that best support users. The number of options is the primary factor that determines what strategy people will use.