Tag Archives: framing

The World hates Innovation

The world hates innovation. This is why

The prolific American innovator Charles F. Kettering once said: “The world hates change. Yet it is the only thing that has brought progress.” Innovation means change. Ergo, the world hates innovation, one might conclude. Let’s investigate Kettering’s statement to understand why, and what it means for us as innovators. Innovation means progress Let’s first take […]

Loss aversion

Fear of losing may be why you’re not winning

In the decision-making course I teach to graduate students in business, I introduce them to prospect theory and the related cognitive biases. One of these biases, loss aversion, helps explain why many individuals and organizations are unable to realize their full innovation potential. Prospect theory and loss aversion In their 1979 paper Prospect theory, the […]