LEARNING OBJECTIVES
after(prenominal) studying this chapter, students should be able to:
1.Explain how two masses can see the same thing and interpret it differently
2. listen the three determinants of attribution
3.Describe how shortcuts can assist in or distort our judgment of others
4.Explain how perception affects the stopping point-making process
5.Outline the vi steps in the rational termination-making model
6.Describe the actions of the boundedly rational decision maker
7.Identify the conditions in which individuals are most likely to wont intuition in decision making
8.Describe four styles of decision making
9.Define heuristics, and explain how they bias decisions
10.Contrast the three good decision criteria
TEXT OUTLINE
I. Introduction
A. The Intel Decision Blunder
1. Fall of 1994
2. The executive co- gear uper and chief executive officer at the time, Andrew orchard
3. The powerful Pentium chip had become the brains in more(prenominal) than 4 million personal computers.
4. In late October 1994, a professor in Virginia discovered a flaw in the Pentium chip.
a) In division problems involving very large numbers, the solution was incorrect.
b) Intel admitted that it had found the flaw four months earlier and had corrected it.
5.
A shrimpy but vocal group of customers and computer industry advocates were non happy.
a) They sine qua noned Intel to replace all the flawed chips.
b) Grove and his executive team approached the issue as an engineering problem.
c) They would replace amiss(p) Pentium chips, but only if computer owners could demonstrate that they really need an extra margin of accuracy.
d) Grove considered the issue closed.
6. Consumers were angry.
7. Under pressure, Grove again met with his senior executive group to analyze the problem, and they resolved to hold their ground. They described the flaw as minor.
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