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To arrive at an economic decision a decision making grid may be used to evaluate?
Alternative choices of action.
With proper illustrations explain in what way concept of elasticity of demand has implication on manegerial decision making process?
Elasticity is a powerful and elegant concept and measures the response or sensitivity of one economic variable against change in another. Such measurement is important to producers because it in turn helps them to understand the impact of an economic action undertaken and thereby helps in decision making. One economic variable is price whose response is often sought on another economic variable which is quantity demanded. A producer such as a bakery owner may be interested in finding out how a price rise affects how many loaves of bread he sells in his store. The bakery owner may be thinking, "If I raise the price of the bread in my store by Rs.5, will this reduce significantly the number of breads that I sell, or will it just reduce it by an insignificant number?" As a business owner, this is indeed an important question to him because he does not want to adopt a pricing policy, if possible, that will make him lose too many customers and erode the revenue from sales. Understanding the concept of price-elasticity of demand can help him in his decision making process of whether to raise the price or not.
What are the importance of opportunity cost?
Opportunity cost analysis plays a vital role in decision making process during selection of alternative projects because one project may be looks feasible in absence of opportunity cost but when considering the foregoing cost of any other alternative may make that project or decision unfeasible or vice versa.
Explain why elasticity of demand is such an important concept to marketers who sell a commodity product?
Elasticity of demand is important to marketers because it helps them know the optimal price for the product. When a product is priced too high, the consumers may opt for a competitor's product.
What is the definition of decision?
The definition of decision is - Act of deciding, settlement of an issue, conclusion come to." I have made my decision and you may not go to the party tomorrow. "
What is other-directed decision making?
Other directed decision making is a key component to making what you may consider the right decision at the time it needs to be made. the key is to be objective to all options.
Is rational decision making different from decision making?
Rational decision making is a type of decision making that involves a systematic process of evaluating options based on logic and facts to achieve the best outcome. Decision making, on the other hand, is a broader term that encompasses all processes involved in choosing between different alternatives, which may or may not always be rational.
What characteristics of normal lung tissue are missing from diseased tissue?
the two main characteristics of normal lung tissue that may be affected in diseased individuals are either Compliance or Elasticity. compliance is the characteristic of lung tissue that allows it to expand elasticity is the characteristic of lung tissue that allows it go back to its former shape and size. elasticity is usually affected in chronic obstructive conditions like emphysema compliance is usually affected in restrictive lung dysfunctions like pulmonary fibrosis.
To arrive at an economic decision a decision making grid may be used to evaluate?
Alternative choices of action.
What is at stake when making an ethical decision?
When making an ethical decision, morals are at stake. You may want to think it through thoroughly before making any choice that would compromise your morals.
Issues in strategic decision making?
§ A company would have different people in decision making at different periods of time. Decision often require judgments and thus is important to note that the person related factors are important in decision making and the decision make differ as that person changes. § Again an individual does not take decisions alone. But often there is rumble in decisions, which could be between individual and group decision making. The decision taken by the group could be different from those that may be taken by the individual themselves. § The company would need to decide on what criteria it should make its decision. Thus it need a process of objective setting, which serve as benchmarks for evaluation of the efficiency and effectiveness of the decision making process. There are three major criteria in decision making- the concept of maximization, - the concept of satisfying, -the concept of instrumentalism. Based on the chosen concept, Strategic decisions will differ. § It is assumed that decision making is logical and thus there will be rationality in the decision making. In the context of Strategic decision making, it means that there would be a proper evaluation and then exercising a choice from among various alternative courses of action in such a way that it may lead to the achievement of the objectives in the best possible manner. § As the situations are complex, straightforward thinking may not be effective. Creativity in decision making may be needed, thus the decision must be original and different. But also based on situation and circumstances there could be variability in decision making.
Why does separation of powers delay decision making?
The President and the Congress may disagree.
Challenges facing managers in regards to decision making?
Opinions may vary. One challenge that faced managers is making the right decision to a tough problem given a limited time.
What are the disadvantages of having shareholders?
One disadvantage of having shareholders is that they may not know a lot about the business but they have a voting right in the direction the company takes. Shareholders may delay the decision making process when they form the considerable part of decision making.
With proper illustrations explain in what way concept of elasticity of demand has implication on manegerial decision making process?
Elasticity is a powerful and elegant concept and measures the response or sensitivity of one economic variable against change in another. Such measurement is important to producers because it in turn helps them to understand the impact of an economic action undertaken and thereby helps in decision making. One economic variable is price whose response is often sought on another economic variable which is quantity demanded. A producer such as a bakery owner may be interested in finding out how a price rise affects how many loaves of bread he sells in his store. The bakery owner may be thinking, "If I raise the price of the bread in my store by Rs.5, will this reduce significantly the number of breads that I sell, or will it just reduce it by an insignificant number?" As a business owner, this is indeed an important question to him because he does not want to adopt a pricing policy, if possible, that will make him lose too many customers and erode the revenue from sales. Understanding the concept of price-elasticity of demand can help him in his decision making process of whether to raise the price or not.
What is the difference between decision making and decision taking?
The terms "decision making" and "decision taking" are often used interchangeably, but there can be a subtle difference in their meanings, depending on the context. In general, "decision making" refers to the process of considering options, gathering information, weighing pros and cons, and ultimately choosing a course of action. It involves a more deliberate and thoughtful approach to decision making, where all possible options are explored and considered before a final decision is made. On the other hand, "decision taking" can imply a more impulsive or instinctual approach to decision making, where the decision is made quickly and with less consideration of all possible options. It may also imply a decision that is made without a clear and deliberate process or without all relevant information being considered. In some contexts, the two terms may be used interchangeably without any real difference in meaning. However, in situations where a more careful and deliberate approach to decision making is necessary, the term "decision making" is more commonly used. Recommend to try this๐ฑ๐ฝ๐ฝ๐น๐ผ://๐๐๐.๐ญ๐ฒ๐ฐ๐ฒ๐ผ๐ฝ๐ธ๐ป๐ฎ24.๐ฌ๐ธ๐ถ/๐ป๐ฎ๐ญ๐ฒ๐ป/449012/๐๐ป๐ธ๐ฏ๐ฒ๐ฝ๐ช๐ซ๐ต๐ฎ12/
What are the pros and cons of the classical decision making model?
One pro of the classical decision-making model is its logical and structured approach, helping to ensure thorough consideration of options. However, a con is its assumption of perfect information and rationality, which may not always reflect real-world complexities and limitations in decision-making.
