Final answer:
Normative decision-making is the method in which people make decisions based on ideas or standards they hold, aligning choices with their personal values and the norms of important reference groups.
Step-by-step explanation:
People make decisions based on ideas or standards that they believe in using the normative decision-making method. This approach heavily relies on following established norms and ideals, essentially selecting options that align with one's values and principles. This is in contrast to intuitive decision-making, which involves going with a gut feeling or an instinctive response.
Normative decision-making can be influenced by one's reference group, which is a group whose values and beliefs become a standard for one's own behavior. The Asch experiment showed that participants conformed due to normative social influence, and this ties back to how people make decisions that conform to their group's expectations. When looking at biases, the anchoring bias involves focusing on one piece of information (often the first one received) when making decisions, while confirmation bias involves seeking out information that confirms one's preexisting beliefs.