COMMERCE 1BA3 Chapter Notes - Chapter 11: Satisficing, Bounded Rationality, Rationality
4 Oct 2017
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Fully rational: looked at all the school first (sequential evaluation) Perfect rationality: a decision strategy that is completely informed, perfectly logical, and oriented toward economic gain. Well-structured problem a problem for which the existing state is. Ill-structured problem a problem for which the existing and desired. Framing aspects of the presentation of information about a problem. Cognitive biases tendencies to acquire and process information in an. Maximization the choice of the decision alternative with the greatest. Anchoring effect the inadequate adjustment of subsequent estimates. Escalation of commitment the tendency to invest additional. Groupthink the capacity for group pressure to damage the mental efficiency, reality testing, and moral judgement of decision-making groups. A decision strategy that is completely informed, perfectly logical, and oriented toward economic gain. These perfectly rational characteristics do not exist in real decision-makers. How do we use the theory to increase someone"s commitment to the. Team: i make it more visible, the decision cannot be changed, personal will.
