Journal of Northeastern University Natural Science ›› 2015, Vol. 36 ›› Issue (1): 148-152.DOI: 10.12068/j.issn.1005-3026.2015.01.032

• Management Science • Previous Articles    

A Method for Risky Multi-attribute Decision Making with Multiple Reference Points

LIU Yun-zhi, FAN Zhi-ping   

  1. School of Business Administration, Northeastern University, Shenyang 110819, China.
  • Received:2013-11-25 Revised:2013-11-25 Online:2015-01-15 Published:2014-11-07
  • Contact: LIU Yun-zhi
  • About author:-
  • Supported by:
    -

Abstract: A method based on cumulative prospect theory was proposed to solve risky multi-attribute decision making problems with multiple reference points. First, in light of cumulative prospect theory, the prospect value and decision weight of each alternative with regard to each person were calculated in different natural states, and the comprehensive cumulative prospect value of each alternative with regard to each person was obtained accordingly. Then, the expected degree of consistency for each person′s decision information and overall decision information was calculated, and each person′s weight was obtained.On this basis, the overall cumulative prospect value of each alternative was calculated, and the alternative ranking was determined. Finally, a numerical example was given to illustrate the applicability of the proposed method.

Key words: risky multi-attribute decision making, reference point, cumulative prospect theory, expected degree of consistency, alternative ranking

CLC Number: