What is meant by the term "risky shift" in group dynamics?

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Prepare for the UCF MAN6245 Organizational Behavior and Development Exam. Utilize flashcards and multiple-choice questions with helpful hints and explanations to enhance your understanding. Ace your test with our comprehensive study guide!

The term "risky shift" refers to the phenomenon where groups are more likely to make riskier decisions compared to individuals making decisions alone. This occurs because group dynamics can amplify certain biases and encourage members to push boundaries, leading to more extreme outcomes. When individuals collaborate in groups, they may feel a degree of anonymity or diffused responsibility, which can decrease their apprehension about potential negative consequences. As a result, the group might collectively support a course of action that involves taking greater risks than any single member might choose in isolation.

This tendency towards extreme decision-making is influenced by various factors, including social pressure to conform, the pooling of opinions which can create a feeling of confidence in the group’s chosen path, and the desire for consensus. All of these elements combine to create an environment where individuals feel empowered to endorse riskier alternatives, ultimately reflecting more extreme positions than they might consider independently.