Glass Half Empty, Glass Half Full

What Would You Choose?

Here are two scenarios to think about if you follow sports (or even if you do not but know something about the major games):

1. Soccer (World Cup): Argentina (7) vs. France (5)?
2. Football (American Football, for those abroad): Kansas City Chiefs (25) vs. San Francisco 49ers (22).?

Think about Soccer. If Argentina was your favorite, you could say they won; if France was your preferred team, you could say they lost. Same with American football—it depends on your perspective and which team you prefer.?

But what I believe is more telling—and powerful—for us to consider is that thinking that a team “lost” leads us to wonder what actions it took to lose, and hearing that a team “won” brings us to ask what sort of actions it took to win. This means that how we “experience” the result, which is exactly equivalent from the perspective of the objective result itself, depends on how we frame it (as a win or a loss).?

Now imagine you're presented with two gambling options—which one would you choose? Think about it before reading on.

1. One offering a 10% chance to win $95 and a 90% chance to lose $5.
2. Another where you pay $5 for a 10% chance to win $100 and a 90% chance to win nothing.

I suspect it’s highly likely you went for #2, right?

Think about it: from a mathematical standpoint, both scenarios offer equivalent expected values. But again, it’s about the framing. How they're framed can significantly affect our decisions.

An Experiment in Choice

Consider an experiment involving an oncological treatment for 600 patients. You’re given four options, divided into two sets:

• Option A: 200 people are saved.
• Option B: There is a 1/3 probability that 600 people will be saved and a 2/3 probability that no one will be saved.

Now for the second set of options:

• Option C: 400 people will die.
• Option D: There is a one-third probability that nobody will die and a two-thirds probability that all 600 people will die.

All four options are mathematically equivalent, as you can see. But there is always a "but," and it is that the emotional weight behind them is significant.?

Research by Daniel Kahneman and Amos Tversky Nobel Prize laureates shows that most individuals tend to favor Option A because they prefer a definite outcome (saving 200 lives) over a gamble. Conversely, in the second scenario, many lean toward Option D, choosing the chance to save some lives over the certainty of losing 400. This illustrates our aversion to losses and how framing can significantly alter our decision-making processes.

A Tale of Two Movie Tickets

A man buys two tickets to the movies and puts them in his wallet. When he gets there, he realizes that, somehow, he lost them before entering the theater. At this point, he has to choose whether to buy two more tickets or not. What would you think he will do?

Most people would say that the most likely outcome is that he may decide against it, feeling that he’s already lost the tickets to watch the movie, and the idea of spending more seems unreasonable (the experience "is not worth it".)

Now, let’s shift the scenario slightly. Imagine the same man goes to the movies with exactly the right amount of cash to buy the tickets. When he gets there, he discovers that somehow he’s lost the cash but has his credit card with him. What do you think? Will he buy the tickets? Most people would predict that he would go ahead and do it .

Why? The difference is in how he frames the situation. The loss of the tickets is tied directly to the experience, and the emotional weight of that loss influences his decision-making process. He thinks, “I’ve already lost money to watch this movie, so why spend even more?”?

With the second scenario, the loss of cash feels detached from the experience of going to the movies. He’s assessing the new purchase based on the overall impact on his finances, beyond the lost cash, which is more removed from the event (for example, if he makes $10,000, $100 might feel like a sufficiently small proportion of his income that he might just buy again.) So he’s likely to view the added expense as a separate consideration, which makes the decision of buying the tickets again easier.

Not as Rational as We Think

This illustrates a key aspect of how we think: we often prefer options framed as “costs” rather than “losses.” This preference ties into the notion of “glass half full or half empty," where perspective influences our feelings about situations.?

Even if the effect is the same, framing problems as potential losses causes us to become risk averse and to prefer the certainty of a small cost over the uncertainty of a loss. Conversely, we might feel more inclined to risk it if we frame things as a cost with a potential gain (we might view this as an opportunity.)

The takeaway is that, for rational beings, we can be pretty irrational in regards to our decision-making, which we sometimes approach based on our emotional responses. Research shows that individuals tend to favor certainty over uncertainty when considering potential gains, while the reverse is true for losses.

Framing Matters

So now let’s think why this is relevant for how we think about situations, which will drive decisions and actions and which will therefore impact our results. How we frame things can impact our perception of whether we can address them successfully.?

Imagine that you must choose between foregoing a discount or paying a surcharge (let’s say, a transaction where you must pay $105 but enjoy a $5 discount or pay $95 plus a $5 surcharge.) If you’re like most, you would probably choose the first one.?

And the implications go beyond how we face what life throws at us; they can have a big impact in the world of work. When presenting options, focusing on the potential gains or minimizing the losses can influence outcomes dramatically. For instance, a manager might alter the likelihood that their initiative will be approved if they emphasize its positive impact rather than the risks of maintaining the status quo, even if the decision and outcome might be the same.

The conclusion is the same: the mere difference in wording (the perspective used to frame things) can sway your decision-making process.

"The greatest discovery of my generation is that a human being can alter his life by altering his attitudes." – William James

The Coaching Perspective

It’s crucial to remain aware of the power of perspective. Sometimes, the framing of an issue can make it feel intractable, and challenges might seem insurmountable when they might not be. Before making any decisions, especially those that feel paralyzing, take a moment to pause and reflect on your perspective. Sometimes accepting pain or assuming a victim mentality might seem like an easier path.?

You have the power to reshape your understanding of the situation. The choice may seem daunting because of how you’re framing it. Working to find different perspectives might cause something to “pop,” and you can unlock new ways to face any obstacle or issue. What seems insurmountable at first glance may become manageable with a fresh perspective.?

To get you started, ask yourself things such as:

• Am I focusing on what I might lose rather than what I could gain?
• Can shifting my viewpoint help clarify the situation?
• How am I framing this challenge?
• What assumptions am I making?
• What if I approached this from a different angle?
• How does my perspective limit my options?
• What might I gain from viewing this differently?
• What past experiences am I allowing to dictate my present choices?
• How can I reframe my situation to see it as a fresh opportunity?

This will lead to insights that will empower you to take action, own the consequences and trade-offs, make informed decisions, and ultimately achieve the results you desire.

Interested in coaching?

As a coach, I help clients work through different perspectives, recognizing that their choices play a crucial role in how they approach challenges: the decisions they make, which inform the actions they take, which in turn determine their results. I encourage clients to explore their emotional responses to choices and examine how these emotions shape their decisions.?

If you feel stuck or overwhelmed by challenges, consider the transformative power of coaching. A coach can guide you in reframing your perspective, help you identify new possibilities, and face obstacles with more ease and confidence. It could be a career transition or a personal dilemma; coaching will give you support so you see you have the means to gain the clarity you need to reclaim your sense of purpose and direction.?

Book a complimentary session today ! Let's explore how we can work together to shift your perspective and unlock your potential. You have nothing to lose! Whether or not we decide to collaborate, this session will help you map out your next steps.?