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Raj, Ramesh and Rajesh are all making decisions about how to approach the team project. They have only one week to write a75-page analysis of the government's suit against Microsoft. In addition, they all work full-time.
(a)
Rational
(b)
Break-even analysis
(c)
Intuition
(d)
Bounded rationality
(e)
Garbage-can.
(d) Raj, Ramesh and Rajesh are all making decisions about how to approach the team project and they will probably rely on Bounded rationality, which is defined as a concept that suggests that the ability of managers to be perfectly rational in making decisions is limited by such factors as cognitive capacity and time constraints. (a) In rational decision-making, managers possess and understand all the information that is relevant to their decisions at the time they make them. (b) Break-even analysis is a measure by which the level of sales, which is necessary to cover all fixed costs, can be determined. (c) Intuition is "direct perception of truth, fact, etc., independent of any reasoning process; immediate apprehension." (e) Garbage-can model is a non-rational model of managerial decision-making stating that managers behave in virtually a random pattern in making nonprogrammed decisions.
(d)>^_^<
Bounded rationality
d)
Bounded rationality>>>>>>>>>>>>>>>>>>>>>>
(d) Bounded rationality.
Very good explanation, thank you.
