Question: The Thompson Lumber Co . must decide whether or not to expand its product line by manufacturing and marketing a new product - backyard storage

The Thompson Lumber Co. must decide whether or not to expand its product line by manufacturing and marketing a new product - backyard storage sheds. They developed three decision alternatives: Construct a large plant to manufacture the sheds, Construct a small plant, or Do nothing. They also estimate that demand for storage sheds could be High or Low. The payoffs are in the following table:
Decision Alternatives Demand
High Low
Large Plant 200000-180000
Small Plant 100000-20000
Do Nothing 00
This problem description and data applies to questions 4-6.
What is the best decision under Maximax strategy?
Group of answer choices
Build Small Plant
Do Nothing
Build Large Plant
Not enough data

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