Question: Decision making involves many behavioral aspects, which can introduce subjective considerations into the process. Behavioral aspects include things such as bounded rationality, political forces, intuition,



Decision making involves many behavioral aspects, which can introduce subjective considerations into the process. Behavioral aspects include things such as bounded rationality, political forces, intuition, escalation of commitment, risk propensity, and ethics. Good decisions can (and often must) be made despite behavioral considerations; therefore, it is important to understand their potential effects. Identify the behavioral consideration that is described in each of the following examples. Brody is an experienced manager who needs to hire a new financial analyst. There are five people who might be right for the job. When Brody meets the first applicant, he knows instantly that he doesn't like her and doesn't want her working for him. As a result, he cuts short his interview with her and moves on to the next candidate. Intuition Escalation Satisficing Noah works at a coffee shop that offers a special limited edition drink during the month of June. It is always a hassle to get his colleagues to agree on the special drink, so he started providing them with a different sample each morning starting well before June. One day, every employee agreed that the daily sample would be a good choice to use as the limited edition beverage in June. O Intuition Satisficing O Escalation Last month, the Pilots Association held a meeting to discuss its plans for next year. Last year, the group spent more than $50,000 to develop plans for a new airport hub. The hub was criticized by airport officials, who suggested that they would not be interested in the project at any time. The group decided to continue developing their plans, because they had already invested so much in the project. O Satisficing O Escalation O Intuition Choose the best answer to complete the sentence. Jack wanted to buy a 2014 Tesla Model S. But because the car is priced at $93,400, and is a student with only a part-time job, principles of led him to test drive only cars within his realistic price range. bounded rationality the classical decision model plete the sentence. groupthink a Model S. But because the car is priced at $93,400, and is a student with only a part-time job, principles of led him to test drive only cars within his realistic price range