University of Sussex
Browse
Wan,_Kwo-Feng.pdf (2.64 MB)

A behavioural view of the decision for capability investments: the solar PV industry in Taiwan

Download (2.64 MB)
thesis
posted on 2023-06-08, 22:32 authored by Kwo-Feng Wan
This research examines the role of framing in the process of decision-making for new capability investments under conditions of policy and technological uncertainty. I argue that framing can explain the decision to exploit current capabilities, but is not sufficient to explain the decision to explore new capabilities. This research discriminates between “frames” and “framing” in the investigation: whereas “framing” is the process of constructing the meaning of the decision problem, “frame” refers to a specific perspective adopted by the decision makers. I develop a three-level research design: the industry-level analysis adopts the approach of eliciting heuristics to identify general patterns. The firm-level examines sources of variation and causal complexity by comparative case analysis. The decision-maker level investigates the influence of senior managers’ professional experience using a scenario evaluation approach. Three observations from the case study of Taiwanese solar PV firms: firstly, systematic patterns are found in the process of framing environmental uncertainty and attributing the causes of the decision problem of capability investments. Secondly, whilst differentiated framing exists and corresponds to selective attention; such a difference is not necessarily associated with different choice pattern. Finally, the loosely coupling framing and choices leads to the speculation that the role of deliberate practice, rather than framing has a stronger influence on the decision to explore. This research illustrates that the capabilities investment decision is not a single event but a complex process. While the stylised psychological principles explain the heuristic judgments, the influencing factors of an organisational decision are interdependent and temporally connected in the decision context. I argue that the problem of framing lies in prohibiting the alterative frame. Therefore exploration needs to be deliberately sought by the specially designed practice. This research contributes to understanding the relationship between behavioural view of descriptive analysis and prescriptive view of procedural rationality in the decision- making process.

History

File Version

  • Published version

Pages

244.0

Department affiliated with

  • SPRU - Science Policy Research Unit Theses

Qualification level

  • doctoral

Qualification name

  • phd

Language

  • eng

Institution

University of Sussex

Full text available

  • Yes

Legacy Posted Date

2015-09-17

Usage metrics

    University of Sussex (Theses)

    Categories

    No categories selected

    Exports

    RefWorks
    BibTeX
    Ref. manager
    Endnote
    DataCite
    NLM
    DC