Influence Of Need For Cognitive Closure And Quality Of Advice On Advise-taking From Stock Market Novices

When people make decisions,they often get advice from others,especially when you want to make a quality decision,you will inevitably search for information or professional support.Recommendation adoption has been a hot issue in recent years in decision making research.Recommendation adoption refers to the process by which decision makers refer to others’suggestions and form a final decision.The final decision is made by integrating information from the decision maker and others’suggestions.Many factors both internal and external to the recommendation affect the adoption of the recommendation,and the decision maker obtains the recommendation,analyzes the recommendation,and finally makes the decision as an information processing process.Previous studies have shown that the information processing style of decision makers,the power position and emotions of decision makers;the professionalism and confidence of the recommender;the difficulty of the task and whether the recommendation is paid or not all influence the decision makers’recommendation adoption.Starting with decision makers’search for certainty information,this study focuses on how the level of cognitive closure needed in a stock purchase situation affects decision makers’perceptions of the advisees’correctness and thus advice adoption.In this study,the"Stock Closing Price Estimation Task"was developed using the JAS paradigm with reference to the experiments of?nkal,Goodwin et al.The effect of cognitive closure needs and recommendation quality on recommendation adoption was investigated through three experiments.The average experiment time was first determined through a pre-experiment,which was used as a criterion for manipulating time pressure in the formal experiment.Experiment 1 used stock K-charts of Shanghai and Shenzhen A-shares with names and information hidden as experimental materials to explore whether subjects could learn the advisor’s correctness based on feedback in the decision making task,thus affecting advice adoption;Experiment 2 was divided into two blocks based on Experiment 1,manipulating the advisor’s correctness to change in the two blocks to explore how subjects adopted advice when the advisor’s correctness changed in the course of the task The third experiment presented the advisor’s star rating at the same time as the advisor’s advice appeared to explore whether the initial expectation would affect the subjects’advice adoption.The results of the study indicated that.（1）WOA_lg is a more reliable indicator of recommendation adoption than WOA.（2）subjects at low levels of cognitive closure needs can learn the advisor’s accuracy through feedback,and adopt the advice of advisors with high accuracy rates to a high degree and those with low accuracy rates to a low degree;subjects at high levels of cognitive closure needs do not differ significantly in their adoption of the advice of advisors with high and low accuracy rates.（3）When the advisor’s accuracy rate decreased from high,the subjects’advice adoption level also decreased,and the advice adoption level before the change was significantly higher than that after the change;when the advisor’s accuracy rate increased from low,there was no significant difference in the advice adoption level before and after the change.Subjects with high levels of cognitive closure rated the advisor’s accuracy higher than those with low levels of cognitive closure.（4）When there is an initial expectation of the advisor,subjects’advice adoption degree and evaluation of the advisor are influenced by both initial expectation and learning.The higher the advisor’s star rating,the higher the decision maker’s advice adoption,even though the actual accuracy of the two-and three-star advisors was the same.The degree of recommendation adoption was significantly higher for subjects with high levels of cognitive closure than for those with low levels of cognitive closure.