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Consider the following decision scenarios: You are finishing your MBA at a well-known school. Your credentials are quite good and you have 5 job offers in the industry that you desire. How will you select the right job?
Since this is an open scenario, you are free to make assumptions and add necessary information (type of job, industry, location etc). When making assumptions, clearly state your rationale behind each assumption.
Q1) Apply the decision matrix: Define the problem Specify at least 5 criteria Identify at least 5 alternatives Assign weights to criteria and calculate scores based on research/data Choose the alterative with the highest score
You can include the decision matrix in the appendix.
Q2) Due to variety of reasons (time pressure, bounded rationality, etc), it is hard to perfectly apply the rational decision-making model (e.g. decision matrix) to decisions. Instead, the textbook talks about the four decision heuristics (decision shortcuts) people may use to make decisions:
The availability heuristic The representativeness heuristic The confirmation heuristic The affect heuristic
For the same scenario in Question 1, discuss how the decision maker might use each heuristic and the potential benefits and problems of using each heuristic
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