Unit I Assessment

Question 1

Explain the availability, representativeness, and affect heuristics. In your answer, compare the three and discuss the positive and negative aspects of each.

Answer

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25 points

Question 2

Discuss bounded rationality. In your discussion, explain the term as well as its importance in rational managerial decision-making.

Answer

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25 points

Question 3

With information that you gained from an Internet and literature search, discuss the concept of satisficing. In your answer, discuss the positive and negative aspects of applying satisficing in decision-making.

Answer

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25 points

Question 4

Discuss how bias has blocked your ability to make a rational decision. In your answer, discuss the heuristic that you may have used and the bias associated with that heuristic. What could you have done to overcome the bias generated by the heuristic?

Unit II Assessment

Question 1

Conduct an Internet search for information on individual versus group decision making. Then, compare and contrast individual and group decision-making. What are the advantages and disadvantages of each? Are there certain decisions that are better suited to individual decision-making? What bounded awareness issues are found in individual versus group decision-making? Cite your textbook and at least one additional source.

Question 2

On January 28, 1986, the Space Shuttle Challenger was destroyed upon launch from Cape Canaveral, Florida killing all seven astronauts on board. Conduct a literature and an Internet search on the topics of the Challenger disaster and groupthink. Then, discuss how groupthink might have created decision-making problems for NASA and its booster contractor. Cite your textbook and at least one additional source.

Question 3

Discuss the following statement. “It is important that organizational managers understand that bounded awareness can and will occur in decision making.” In developing your discussion, cite your textbook and at least one additional source. Answer

Question 4

Conduct an Internet or library search for information on “The Bay of Pigs Invasion.” Discuss the failure of the invasion in terms of bounded awareness. In your opinion, what caused the poor decisions to be made? Could focalism and/or focusing illusion have played a part in this failure? If so, how?

Unit III Assessment

Question 1

Discuss your most recent decision to purchase a major item (entertainment center, automobile, home, etc.). In what way did the acquisition utility or the transactional utility come into play for you?

Answer

Question 2

Conduct an Internet and literature search on the topic of the expected-value decision rule. Discuss your findings. In your discussion, review how the expected-value decision rule played a part in a recent decision you made.

Question 3

Conduct a literature and an Internet search on the topic of the Challenger space shuttle disaster. Discuss how the decisions made that fateful day may have been influenced by framing on the part of both the NASA engineers and the engineers at Morton-Thiokol. Cite your textbook and at least one additional source.

Question 4

Conduct an Internet and literature search on the topic of joint versus separate preference reversal. Discuss your findings. In your discussion compare and contrast joint and separate preference reversal.

Unit IV Assessment

Question 2

Recently, a number of major banks have rejected federal bailout money citing that they did not like the rules that the government placed on them if they took the cash infusion. Research these decisions and report your findings. Discuss how self-serving reasoning could play a part in these decisions?

Question 2

Discuss a recent decision that you made (purchase an automobile or home, change jobs, etc.). How did motivation and emotions influence your decision? Did you experience any internal conflict (a battle between what you wanted versus what you should do)? How did you resolve this conflict?

Question 3

Report on a decision that you were a part of or had witnessed in your organization where personal motivation and/or emotions on the part of decision maker(s) may have caused a sub-optimal decision to be made.

Question 4

Lately, the stock market has experienced unprecedented volatility – wild ups and downs. Discuss how stock trading has created a lot of this volatility and the decisions for stock traders to buy and sell wildly in terms of hyperbolic discounting.

Unit V Assessment

Question 1

In the 1960s, Britain and France decided to jointly fund and build a supersonic transport that became known as the Concorde. Research the decision to build and fly the supersonic transport Concorde. Then, discuss how the sunk costs and an escalation of commitment affected their decisions.

Question 2

Throughout its existence, Saturn has never turned a profit for General Motors. Research the history of Saturn and GM’s decision to continue funding it (although GM has now decided to close down the auto maker). Why hadn’t Saturn made a profit? Was escalation of commitment in play in GM’s decision? If so, how?

Question 3

In 2001, Polaroid filed for bankruptcy protection. Investigate this filing. What caused the bankruptcy? Can it be traced to an escalation of commitment?

Question 4

During the Cold War and post-Cold War eras, the United States and the Soviet Union have been competing with one another in attempts to gain a strategic advantage over one another. The Strategic Defense Initiative (SDI) was born out of that competition. Discuss the SDI and how the United States and the Soviet Union applied the competitive escalation paradigm.

Unit VI Assessment

Question 1

Research the subject of the Enron and Arthur Andersen relationship. Discuss your findings in terms of the application of ethics in the various decisions made by the Enron and Arthur Andersen teams. How did bounded ethicality play a role in these decisions?

Question 2

Recently, the American International Group (AIG), a global insurance and financial services organization, accepted billions of dollars from the United States Government in order to remain solvent and in operation. After receiving this money, the organization decided to pay over $160 million in bonuses. Discuss the ethical problems associated with this decision. Could in-group favoritism play a role in this decision? If you were the CEO, what decision would you have made?

Question 3

Bernard Madoff, a once highly regarded member of the Wall Street community, recently pleaded guilty of running a $50 billion ponzi scheme. Research the driving forces behind his seemingly unethical behavior and discuss your findings. How did favoritism and bounded ethicality come into play in this case?

Question 4

Read the caseFairness in Punishment. Discuss the Decatur School Board's decision to adopt a “no tolerance on school violence” in terms of fairness. How did implicit attitudes, perhaps, influence the school board's decision to punish such a disproportionate number of African-American students?

Answer

Unit VII Assessment

Question 1

Assume that you are part of a mediation team that has been brought in to help overcome an impasse between negotiators who are deliberating the use of embryonic stem cells for a research project. The decision makers are polarized along ethical and religious lines. Since this is a potentially emotional issue, what would you do in order to break this impasse? How could the fixed pie concept come into play in this situation?

Question 2

Assume that you are part of a mediation team that has been brought in to help overcome an impasse between negotiators who are deliberating the use of embryonic stem cells for a research project. The decision makers are polarized along ethical and religious lines. Since this is a potentially emotional issue, what would you do in order to break this impasse? How could the fixed pie concept come into play in this situation?

Question 3

Eventually, the United States and Iran will have to sit down and negotiate the use of nuclear power. Discuss the issues that could be involved in such a negotiation. What cognitive mistakes might be made by the negotiators in this case? How could these mistakes be overcome in order to reach an acceptable agreement?

Answer

Question 4

Recently, General Motors and the United Auto Workers had to sit down and negotiate a change in the labor agreement in order to keep the company from going bankrupt. Consider what might have gone on during these negotiations and discuss how framing might have been used, and what issues might have been discussed, in order to reach an acceptable agreement. Answer

Unit VIII Assessment

Question 1

Bazerman and Moore suggest that we should understand the biases of others. Discuss this concept in terms of why it is important for us to understand other peoples' biases. In your discussion, focus on how you might be able to improve your decision-making in a group setting

Question 2

Conduct an Internet search for information on linear decision-making. Then, discuss your findings and contrast it with what the authors offer in the textbook. Next, discuss how a linear decision-making model could have helped you in making a past decision.

Question 3

Describe the concept of analogical reasoning. Then, considering your last purchase decision, discuss how analogical reasoning could have helped you to improve your decision and increase your satisfaction with the product or service that you purchased.

Question 4

Discuss some of the reasons why managers continue to use unstructured employment interviews despite the abundant evidence that they are not useful for predicting future job performance.