Fundamentals of Management, 8th ed

Questions for Analysis

1.

Was your decision about what college or university to

attend a rational decision? Did you go through each

step in rational decision making? If not, why not?

2.

Most business decisions are made under condi-

tions of either risk or uncertainty. In your opinion,

is it easier to make a decision under a condition of

risk or a condition of uncertainty? Why?

3.

Recall a decision that you recently made that had

ethical implications. Did these implications make

the decision easier or harder?

Chapter 4: Managing Decision Making

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4.

In what ways are escalation of commitment and

decision making under conditions of risk related

to one another?

5.

Consider the following list of business decisions.

Which decisions would be handled most effec-

tively by group or team decision making? Which

would be handled most effectively by individual

decision making? Explain your answers.

• A decision about switching pencil suppliers

• A decision about hiring a new CEO

• A decision about firing an employee for stealing

• A decision about calling 911 to report a fire in

the warehouse

• A decision about introducing a brand-new

product

BUILDING EFFECTIVE CONCEPTUAL SKILLS