Potential: the valuation of imagined future achievement.

The concept of potential is central to a number of decisions, ranging from organizational hiring, to athletic recruiting, to the evaluation of artistic performances. While potential may often be valued for its future payoffs, the present studies investigate whether people value potential even when making decisions about goods and experiences that can only be consumed in the present. Experiment 1 demonstrates that potential makes people more likely to consume inferior performances in the present. Experiment 2 manipulated temporal focus and demonstrates that focusing on the present (vs. the future) attenuates the effect of potential on enjoyment. Experiment 3 demonstrates that merely moving the performance into the past negates the effect of potential. And, Experiment 4 demonstrates that potential increases valuation only when value is tied to abstract, hedonic dimensions, but not when it is tied to concrete, utilitarian dimensions.