Behavioural Science for Business module (BU32017)
Examine how psychology challenges standard business models, exploring heuristics and biases, behavioural decision-making
Standard business models assume rational decision-makers. Behavioural science shows that decisions are shaped by psychological patterns, mental shortcuts, and context.
This module introduces you to the key findings from the heuristics and biases literature and examines what they mean for business. You'll compare behavioural models with standard approaches, looking at where and why they diverge.
Topics include biases that affect judgement, applications of behavioural science to business analysis, and the role of policy and behaviour in business settings.
We will expand on these modules to create evolutionary models of business that incorporate behavioural insights.
Throughout, you'll develop your ability to identify behavioural problems in real situations, interpret empirical evidence, and communicate your reasoning clearly. Lectures and IT suite sessions combine theory with real-world examples and discussion.
What you will learn
In this module, you will:
- Understand the main predictions of the heuristics and biases literature and contrast them with standard business models
- Explore the role of behavioural science in business and public and private decision-making.
- Explore evolutionary models of business based on behavioural ideas.
- Identify the biases that affect individual and organisational decision-making
- Interpret empirical evidence on behavioural science and its relevance to real-world business
By the end of this module, you will be able to:
- Explain the main predictions of the heuristics and biases literature and compare them with standard models of business decision-making
- Describe the role of behavioural science in business, public, and private decision-making
- Identify biases that affect decision-making and analyse their business implications
- Interpret empirical evidence on behavioural science and explain its relevance to real-world phenomena
- Explain and manipulate evolutionary modules of business and their behavioural foundations.
Assignments / assessments
Class test (30%)
- One hour in-class test
Written exam (70%)
- Two-hour written exam
Teaching methods / timetable
- Weekly lectures
- IT suite sessions
- Tutorials with discussion and real-world examples
Courses
This module is available on the following courses: