Group Composition and Groupthink in a Business Game

Abstract

The upper echelon perspective suggests that group compositions are related to decisions and performances of firms. Groupthink theory suggests that groupthink symptoms make groups concurrence-seeking and committed to their decisions. This paper examines whether group composition and groupthink are related to decisions and performances of groups acting as firms in a business game. The results do not show any relations between compositions of groups, and decisions and performances. However, groupthink was apparent as groups were committed to their decisions. The members of the groups stated that they would use similar decisions if they were to play the game again, regardless of the performances of their firms. These results indicate that the selection of members of groups is of minor importance, but that decision making can be improved when the game is played.