Managers often must make decisions quickly, many times with incomplete or ambiguous information, in risky or uncertain situations, and with high information costs. The administrative model of the decision$-$making process outlines steps that managers follow to determine the best course of action to take from among various alternatives.

Companies like PUMA encounter numerous challenges to their profitability and survival.

Review the actions taken by PUMA in the case and relate them to the steps of the decision$-$making process model.

PUMA was facing major threats back in $1993.$ It had lost money for the past eight years and was facing imminent bankruptcy. In response, PUMA CEO Jochen Zeitz considered changing the company's strategy to focus more on style, colors, and lines of athletic shoes and less on performance capabilities. Other actions considered included reducing production costs and revising distribution in the United States. As a result, PUMA created a new division, called "Sport Lifestyle," and focused on creating experimental fashion products. For example, PUMA transformed cleated soccer shoes into trendy, colorful suede fashion sneakers. These new sneakers were sold in a variety of venues, such as Foot Locker, Barneys, and upscale boutiques and department stores. By shifting their strategy and focus, PUMA became the fourth$-$largest athletic apparel company worldwide. By making the appropriate decisions, PUMA is now the third largest sportswear manufacturer in the world.