Affiliations: [1] Business School, State Key Laboratory of Hydraulics and Mountain River Engineering, Sichuan University, Chengdu 610064, China | [2] School of Computer and Software, Nanjing University of Information Science & Technology, Nanjing, Jiangsu 210044, China | [3] School of Economics, Sichuan University, Chengdu 610064, China. E-mails: tianxiaolitxl@126.com, xuzeshui@263.net, gj0901@scu.edu.cn
Correspondence:
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Corresponding author.
Abstract: An extended TODIM is proposed in this paper to comprehensively reflect the psychological characteristics of decision makers (DMs) according to cumulative prospect theory (CPT). We replace the original weight with the weighting function of CPT and modify the perceived value of the dominance based on CPT, because the general psychological phenomena of DMs explained in CPT are verified by many experiments and recognized by researchers. Hence, the extended TODIM not only integrates the advantages of CPT in considering the psychological factors of DMs but also retains the superiority of the classical TODIM in relative dominance. Finally, the extended TODIM is demonstrated to capture the psychological factors of DMs well from the case study.
Keywords: multi-attributes decision-making, TODIM, cumulative prospect theory, venture capital
Journal: Informatica, vol. 30, no. 2, pp. 413-429, 2019
