MGT CHAP 4

1. A condition in which the decision maker knows with reasonable certainty what the alternatives

are and what conditions are associated with each alternative.

• state of certainty

• intuition

2. A decision-making group or team in which members openly discuss, argue about, and agree on

the best alternative

• interacting group or team

• nominal group

When a decision maker stays with a decision even when it appears to be wrong ex: Serena dating

Trip Van Der Built from Gossip Girl

• escalation of commitment

• state of certainty

A form of group decision making in which a group arrives at a consensus of expert opinion

• Delphi group

• groupthink

A structured technique used to generative creative and innovative alternatives or ideas

• nominal group

• chosen alternative.

The act of choosing one alternative from among a set of alternatives.

• decision making

• state of risk

7. The tendency to search for alternatives only until one is found that meets some minimum

standard of sufficiency.

• satisficing

• intuition

A condition in which the availability of each alternative and its potential payoffs and costs are all

associated with probability estimates.

• state of risk

• state of uncertainty

A situation that occurs when a group or team's desire for consensus and cohesiveness

overwhelms its desire to reach the best possible decision.

• groupthink

• bounded rationality

Recognize and define the decision situation; identify appropriate alternatives; evaluate each

alternative in terms of its feasibility, satisfactoriness, and consequences; select the best

alternative; implement the chosen alternative; and follow up and evaluate the results of the

chosen alternative.

• steps in rational decision making

• classical decision model