Case study 3.1: HY DAIRIES, INC.

1. Apply your knowledge of stereotyping and social identity theory to explain what went wrong here.

Stereotyping is the process of assigning traits to people on the basis of their membership in a social category. Stereotypes generally have some inaccuracies, some overestimation or underestimation of real differences, and some degree of accuracy. One problem with stereotyping is that stereotypes under certain conditions, such as the degree to which they interact with people in that group. The greatest concern is that stereotyping lays the foundation for prejudice that is unfounded negative emotions toward people belonging to a particular stereotyped group. Stereotyping could aslo be partly …show more content…

Lastly is false-consensus effect or sometimes called the similar-to-me effect, the false-consensus effect is a widely observed bias in which we overestimate the extent to which others have beliefs and characteristics similar to our own. Employees who are thinking of quitting their jobs believe that a large percentage of their co-workers are also thinking about quitting. This bias occurs to some extent because we associate with others who are similar to us, and we selectively remember information that is consistent with our own views. We also believe every one does it to reinforce our self-concept regarding behaviors that do not have a positive image .

3. What can organizations do to minimize misperceptions in these types of situations?

For this situation, one of the most obvious and widely practiced ways to reduce perceptual biases is by knowing that they exist such as diversity awareness training tries to minimize discrimination by making people aware of systematic discrimination as well as prejudices that occur through stereotyping that attempts to dispel myths about people from various cultural and demographic groups. It can reduce these biases to some extent by making people more mindful of their thought and action.

The other ways to minimize misperceptions is by improving self-awareness that more powerful way to minimize perceptual biases is to help people become