Which of the Following Statements Regarding the Rational Decision-Making Model

question 104

Multiple Choice

Which of the following statements regarding the rational decision-making model is INCORRECT?

• A)The decision maker should generate alternatives before establishing criteria.
• B)The decision maker should make certain to clearly identify the problem before undertaking any other step.
• C)Successful managers tend to be clear on what they want at the outset of the decision making process.
• D)One research study indicated that no alternative generation occurred in 85% of the decisions examined.

---

Definitions:

Efficiency

A measure of how well resources are used to achieve a goal, maximizing output from given inputs without waste.

Equity

The concept of fairness or justice, often discussed in the distribution of wealth, or the ownership interest in a firm.

Perfectly Competitive System

A market structure where many firms offer products or services that are similar, leading to a high level of competition and prices that reflect the true supply and demand.

Allocation of Resources

The process of assigning available resources, both human and material, to specific uses to satisfy the needs and wants of a society.