To be present or to be in the virtual? The use of digital social media for investment decision making

Abstract

Faced with the current communicational trend in organizations, this work sought to analyze the differences between the traditional decision-making process (face-to-face) and the decision-making process mediated by digital social networks, specifically by the WhatsApp application. The research strategy chosen for this research was the quasi-experiment, in which student members of a junior management company were divided into two groups to simulate an investment decision. The first used a conventional process, with a face-to-face meeting, and the second had its decision-making supported exclusively by the digital social media, WhatsApp. Data were collected through direct observation and completion of investment reports, both structured, and treated with descriptive analysis, which were later compared with the literature. The results showed that the use of the virtual tool enhances the decision-making process, providing greater focus, concentration and use of a larger group of criteria for decision-making, when compared to the conventional face-to-face process. However, greater interaction between participants and the search for external sources of information to support the decision were still more evident in the conventional decision-making process.