COMM 292 Chapter Notes - Chapter 12: Hindsight Bias, Bounded Rationality, Knowledge Management
9
COMM 292 Full Course Notes
Verified Note
9 documents
Document Summary
Decision: the choice made from two or more alternatives. Rational: refers to choices that are consistent and value-maximizing within specific constraints. Problem clarity: the problem is clear and unambiguous. Known options: assumed the decision maker can identify all the relevant criteria and can list alternatives. Clear preferences: rationality assumes the criteria and alternatives can be ranked and weighted. Constant preferences: assumed that specific decision criteria are constant and the weights are constant. No time or cost constraints: decision maker can obtain full info about criteria and alternatives. Maximum payoff: decision maker will choose the alternative that yields the highest perceived value. Bounded rationality: limitations on a person"s ability to interpret, process, an act on information. Satisfice: to provide a solution that is both satisfactory and sufficient. Intuitive decision making: a subconscious process created out of a person"s many experiences. Overconfidence bias: error in judgment that arises from being far too optimistic about one"s own performance.
