Question: Dunia store chain must decide whether to construct an extra-large, large, Small, or not Constructing any store. Dunia as CEO of the store will decide

Dunia store chain must decide whether to

Dunia store chain must decide whether to construct an extra-large, large, Small, or not Constructing any store. Dunia as CEO of the store will decide based on the potential demand of the market (state of nature) Weak economy, Good economy, or Excellent economy. The possible profits for all alternative are shown in the next payoff table Probabilities 0.4 0.3 0.3 Weak Good Excellent 180 250 340 Extra large Large Small 130 200 280 80 100 150 None 0 0 0 1. Determine the Maximax profit decision. . 2. Determine the Maximin profit decision.( 3. Determine the best decision using expected monetary values. 4. If the coefficient of realism a = 0.8. Determine the best decision using the criterion of realism

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