Rational and objective: that is how business people like to see themselves, believing there is no room for emotion in their decision making. Yet whenever human beings find themselves in the grip of intense feelings, such as greed or fear, it is these, rather than rational thoughts, that influence the choices they make.
Whatever we think, emotions always play a part in our decisions. Understanding this can help businesspeople make better choices and achieve better results – particularly in the uncertain world of financial markets.
Feelings can be a useful guide to making decisions. Optimism, for example, is necessary, but too much can mean crucial realities are ignored. Desire to succeed can be so powerful as to repress the risks involved. Fear is appropriate when caution is called for, and excitement is necessary to motivate staff and move business on.