THE EFFECTS OF ALTERNATIVE LABELS ON DECISION BEHAVIOR - THE CASE OF CORPORATE SITE SELECTION DECISIONS

The influence of alternative labels on decision processes and outcomes were examined in a multidimensional decision task with realistic deci sion information and experienced decision makers. Based on prior resea rch, it was predicted that labels would influence selection and rating s of decision alternatives, as well as the extent of information searc h and the information search strategies. Subjects (n = 26) experienced in making and/or aiding business relocation decisions completed two c omputer controlled site selection tasks: one with labeled locations an d one with unlabeled locations. Results indicated that labeling influe nced both decision processes and location ratings. An interaction betw een order of task completion and labeling suggested that labeling effe cts on decision making may be minimized if an unlabeled task is comple ted prior to a labeled task. Implications and limitations are discusse d in terms of labeling effects and decision quality. (C) 1994 Academic Press, Inc.