Managers who are cautious and try to adhere to the rational decision-making model
A) are more likely to make mistakes.
B) frequently make decisions that lead to big losses.
C) have a lower risk propensity than other managers.
D) frequently make decisions that lead to big successes.
E) suffer from bounded rationality.

Question

Quizplus · Accepted Answer

Managers who adhere to the rational decision-making model are more cautious and have a lower risk propensity. This approach involves carefully collecting and analyzing data to make informed choices, which can result in more successful decisions. However, it can also lead to a lack of innovation and missed opportunities if the manager is overly cautious.

Managers Who Are Cautious and Try to Adhere to the Rational