Understanding the Role of Preference Revision and Concession in Group Decisions

Abstract

In this article, the authors contend that member influence in a group's decision could be decomposed into two distinct elements of preference revision and concession. Using a hierarchical Bayes model of dyadic decision making, the authors show that the degree of preference revision and concession varies across product attributes, individuals, and product categories. The authors demonstrate that converging preferences affect a member's concession, which in turn affects members’ satisfaction with the joint decision. More important, a member's satisfaction is higher when his or her concession is reciprocated.