A real estate developer is looking into options to develop a 100,000 sq meters of land that he owns by the sea in a touristic Mediterranean city. The developer has completed a framing exercise during which a decision hierarchy was identified to guide the generation of alternative strategies. The following decisions were considered in the decision hierarchy: what type of development to build, how to finance this development, will we develop the full extent of the land, will we sell units before construction is complete, which contractor should we hire for the job. a)Classify the listed decisions into given, focus and non-focus decisions. b)For each focus decision identified above, propose two mutually exclusive options and develop a strategy table accordingly. c)Identify in the strategy table two alternative development strategies for the development. d)List one value measure that will guide the decision of the developer to decide on preferred development alternative

A real estate developer is looking into options to develop a 100,000 sq meters of land that he owns by the sea in a touristic Mediterranean city. The developer has completed a framing exercise during which a decision hierarchy was identified to guide the generation of alternative strategies. The following decisions were considered in the decision hierarchy: what type of development to build, how to finance this development, will we develop the full extent of the land, will we sell units before construction is complete, which contractor should we hire for the job. a)Classify the listed decisions into given, focus and non-focus decisions. b)For each focus decision identified above, propose two mutually exclusive options and develop a strategy table accordingly. c)Identify in the strategy table two alternative development strategies for the development. d)List one value measure that will guide the decision of the developer to decide on preferred development alternative

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter9: Decision Making Under Uncertainty

Section9.2: Elements Of Decision Analysis

Problem 2P

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