Kallie Inc

question 2

Multiple Choice

Kallie Inc., a small parts manufacturer, has just engineered a new product for the automotive industry. In order to produce the part the company can expand existing facilities, acquire a competitor, or subcontract production. The company believes the product will either experience high market demand or low market demand. The following payoff table describes the company's decision situation. The best decision for Kallie Inc. using the maximin decision criterion is to

• A) expand facilities.
• B) acquire competitor.
• C) subcontract production.
• D) select high demand.

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Definitions:

Reinforcement

A concept in psychology that refers to anything that strengthens a behavior, making it more likely to occur.

Child's Behavior

Refers to the range of actions and mannerisms exhibited by children in response to their environment or internal stimuli.

Negative Reinforcement

A behavioral concept where an unpleasant stimulus is removed following a desired behavior, increasing the likelihood of that behavior being repeated.

Positive Reinforcement

The addition of a rewarding stimulus following a desired behavior, making it more likely that the behavior will occur again.