Business Decision Making Essay

A rational decision implies that a qualitative and considered thought process was undertaken in order to reach an optimal outcome. Although there are defined rules that add structure to the rational decision making process (Tripathi & PNP 2007; Williams, & McWilliams 2013), according to contingency theory and with respect to the rationality paradigm, there are limits to which an optimal outcome is realised (Morgan 1986, p. 167; Schoonhoven 1981, p. 352). External factors such as government, customers, competitors and suppliers all impose their constraints that influence the final decision. Contingency theory suggests that the final decision is ultimately determined by the organisation’s overall objectives coupled with real world limitations, and consequently all rational decisions take the form of bounded rationality and therefore should be considered suboptimal (Todd & Gigerenzer 2003, p. 144; March & Simon 1958, p. 269). However, there is another view that considers rational decisions made independently and unbounded will become optimal, or more accurately stated, maximising the expected utility (Von Neumann & Morgenstern 1944).

Step 1: Strategic Analysis. City Flowers should analysis external and internal environment and first. By collecting and reviewing of information about firm’s internal processes and resources and external marketplace factors, firm can understand the situation and position well. By using PESTLE to analysis external environment and SWOT to analysis internal environment are efficient.

The company position is strong enough so its better that company should use debt financing instead of equity financing.

One of the critical lessons I’ve learned in life, and it extends beyond the workplace, is the importance of knowing the fundamentals. This may seem old-fashioned or trite in the days of instant on-line information, but mastery of the fundamentals will always make getting the desired results easier. This is especially true in business; business fundamentals serve as the foundation for all business pathways. Every business requires the mastery of four basic, yet important, concepts to function and compete: capital, marketing, leadership, and people. In the world of business, these fundamentals are configured and reconfigured over and over again to satisfy the goals of successful organizations.

Debt financing is when money is borrowed from a lender that you intended to pay back including interest. Some pros of debt financing are that you are in control of how that capital can be spent. In some cases there will be certain restrictions included from the lender but for the most part you are in control. That is

While using debt may add pressure to a company’s ongoing operations as a result of having to meet interest-payment obligations, it helps retain more profits within the company compared to using equity, which requires the sharing of company profits with equity holders. Using debt, companies need to pay only the amount of interest out of their profits. Using equity, on the other hand, the more profits a company makes, the more it has to share with equity investors. To take advantage of such a debt-financing feature, companies often use debt to finance stable business operations in which they can more easily make ongoing interest payments and, meanwhile, retain the rest of the profits to themselves.

The process of decision making can be easily understood as selecting one course of action over other courses actions available. There are also steps that are involved in making decisions. These steps include: (1) pinpointing the problem; (2) identifying the cause; (3) setting objectives; (4) formulating alternative courses of action; (5) evaluating alternatives against organizational objectives; (6) choosing the best course of action; and (7) implementing and evaluating the decision (Holzer and Schwester 2011). Now while these mentioned steps of making decisions seem extensive they are generally how decisions are made. Also in decision making there are numerous amounts of models that emerge and try to explain how all decisions in administrations are made. With decision making comes actors who implement and enforce the results of these decisions. With regards to the topic intended for this essay, the actor is the American administration and their implementation of policies regarding the recent outbreak of Ebola and how these administrators are enforcing policies with respect to the public. This paper specifically will revolve around Graham Allison’s three decision making models in his book Essence of Decision Making: Explaining Cuban Missile Crisis and the way his models analyze the decision making process. Allison’s three different models will give us different lenses to look at and analyze how the American administration is handling the Ebola situation here in the United

Categories of organisation: legal structure; type eg private company, public company, government, voluntary organisation, co-operative, charitable; sector (primary, secondary tertiary)

All of the topics, and more, dicussed in this paper should be evaluated when considering how to fund a business. All the options should be

The current state of the economy has had a significant impact on health care across the country. Recipients of Medicaid services have especially been hit hard in the health care arena with budget cuts and reduced services. The Maricopa County Clinic is not different when it comes to budget cuts. The department providing outpatient services to Medicaid clients has received a 15% budget cut. The current budget constraint is now going to force decisions to be made regarding what clinical services should be eliminated or what changes could best address the health care needs of Medicaid population.

Decision-making process is a six step process. The stages can be summarized as: (1) identifying and diagnosing the problem, (2) generating alternative solutions, (3) evaluating alternatives, (4) choosing the best alternative, (5) implementing the decisions, and (6) evaluating the results.

Taronga Zoo has been consistently trying to promote new visitors to the zoo, as well as maintaining customer loyalty with its regular customers. Promotion of Taronga Zoo has been focused on the birth of new animals within the zoo, as well as around school holiday periods. Various sales promotions are printed in coupon books such as The Entertainment Book, as well as numerous competitions that increase interest and visitation numbers. Taronga Zoo has also used print media, such as various large posters, to promote various events of the zoo.

To demonstrate effective judgment and decision making a rational approach must be taken in order to reach an optimal decision. I am diagnosed with a high functioning form of Obsessive Compulsive Disorder. This condition drives me to act exceptionally irrational in my judgments and decisions. I strive each day to improve my skills and decrease the impact of my irrational fears. With a major of management, my future career undoubtedly be filled with tough decisions and judgment calls that require a calm, sound and rational mind. This paper will cover the knowledge acquired over the past sixteen weeks on judgment and decision-making. I will discuss both the availability and confirmation heuristics and the biases that stem from them. Lastly

This report will discuss about the approach to rational decision making process. It discusses how an everyday problem faced by management can be tackled by using

Debt and equity financing are your two basic options to raise money for a start-up company or growing business. Debt financing includes long-term loans you get from the bank. Equity financing is private investor money you get in exchange for a share of ownership in the business. Now I want to explain about the advantages and disadvantages of using equity capital and debt capital to finance a small business's growth. The advantages of Debt is financing allows you to pay for new buildings, equipment and other assets used to grow your business before you earn the necessary funds. This can be a great way to pursue an aggressive growth strategy, especially if you have access to low interest rates. Closely related is the advantage of paying off your debt in installments over a period of time. Relative to equity financing, you also benefit by not relinquishing any ownership or control of the business. Interest on the debt can be deducted on the company's tax return, lowering the actual cost of the loan to the company. Raising debt capital is less complicated because the company is not required to comply