Decision-Making Biases (Scenario) Frank Is President of Mega Manufacturing, a Canadian Company That

question 149

Multiple Choice

Decision-making Biases (Scenario)
Frank is president of Mega Manufacturing, a Canadian company that makes automobile parts. Sales and profits are down sharply this quarter, and Frank needs to analyze the series of events that have led to the poor performance. Frank begins by reviewing his recent interactions with Mike, the vice-president of sales.
-Last week when Frank asked Mike how his presentation to a large Japanese car maker went,Mike replied,"My presentation was brilliant! They loved me! I am positive we will get the contract!" Mike's overly positive view of his performance demonstrates which of the following?

• A)confirmation bias
• B)hindsight bias
• C)overconfidence bias
• D)escalation of commitment

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Definitions:

Business Income

Income generated from the day-to-day activities of running a business or company, including revenues from sales and services minus costs and expenses.

Emigrate

To leave one's country of origin to live permanently in another.

Economic Immigration

The movement of individuals from one region to another for the purpose of seeking better employment opportunities, contributing to the workforce and economic growth of the host country.

Illegal Immigrants

Individuals who enter or reside in a country without the appropriate legal permission or documentation required by that country.