THE EFFECT OF EMOTIONAL INTELLIGENCE ON RATIONAL DECISION-MAKING STRATEGIES OF SMEs MANAGERS

Abstract

The inventions and rising of the machine technologies made human physical power worthless. However, it didn't take long to realize that the machines which weaken humanity's effort by mass production techniques made themselves ineffective at the rapid development cycle and innovative age. In today's business life, economists' inclusion of social and psychological structure as an input in their analysis and examining the role of these inputs in organizations can be considered rational. Emotions and emotions related to emotions, which possess an important role in organizations, affect the sustainability and communication in the organization as well as the process of entering the organization in the life of the organization. Decision-making is the process of finding the best alternative to possess the best result after gathering information about different choices. Small and Medium-Sized Enterprises (SMEs) act as locomotives in all the economies in which they operate. Therefore, the relationship between the emotional intelligence (EI) of SME managers and decision-making strategies is important in terms of both the profitability of SMEs and the structure of the national economy. Consequently, this study aims to observe the relationship between the EI level of managers at SMEs and their rational decision-making strategies. As a result of maintained research and analysis, a significant correlation (r: .536) was obtained between optimistic emotion rate and rational decision-making strategies of managers at SMEs.