Answer the following statements true (T) or false (F)

Question

1. Experts may make irrational decisions because they are unable to see things from an outsider's perspective. 
2. The rational model of decision making assumes that managers will choose the available alternative that best supports their existing beliefs. 
3. The first step in the rational decision making process is to think up alternative solutions. 
4. The final step in the rational decision-making process is to implement and evaluate the chosen solution. 

Answer 1

1. TRUE
As our knowledge and expertise grow, we may be less and less able to see things from an outsider's perspective. Hence, we are often apt to make irrational decisions.
2. FALSE
The rational model of decision making, also called the classical model, explains how managers should make decisions; it assumes managers will make logical decisions that will be the optimum in furthering the organization's best interests.
3. FALSE
The first step in the rational decision-making process is to identify the problem or opportunity.
4. TRUE
The final step in the rational decision-making process it to implement and evaluate the solution chosen.