Competition Shadow: Anchoring to Fear Versus Hope in Estimating Rivals in Competition

Abstract

We studied the effect of two inconsistent emotions, fear and hope, in strategic decision‐making during a competition. We sought to examine which emotion will be more related to whether decision-makers accurately and objectively estimate their rival We developed a nuanced perspective on the effects of trait anxiety on rival estimation by integrating it with the competition shadow. Using a competition simulation and basing on data from 221 individuals across two countries, we found support for a predicted effect of trait anxiety on rival estimation. Several theoretical implications are discussed.