Social entrepreneurship through cultural heritage-CHEER - EN

There is no universal agreement on a standardized classification on the theories.ⁱ According to Ahmed et al (2012), Decision theories can basically be grouped into two: Normative and descriptive decision theory. While normative theory explains how decisions should be made, descriptive theory explains how decisions are made. Many researchers have also classified the theories as either rational or non-rational.ⁱⁱ In differentiating the two, Gigerenezer (2001) identified four attributes for rational theories as: Optimization, normative, omniscience and internal consistency. In the same vein, non-rational theories are identifiable to possess attributes such as non-optimization, descriptive, search, ecological rationality and cognitive building blocks like emotions, imitation, and social norms.ⁱⁱⁱ Some of the theories that have gained popularity in the context of decision-making are as follows.