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Bounded Rationality and Decision-Making

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Discuss Simon's concept of Bounded Rationality and its effectiveness as a decision-making process.

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http://www.princeton.edu/~achaney/tmve/wiki100k/docs/Bounded_rationality.html

Simons' conceptual framework on Bounded Rationality is placated upon limiting what sorts of utility functions there might be. When making decisions, the information that a person has influences the rationality of their decision-making, and therefore, Simon proposes that for effective decision-making, decision-makers must recognize the costs of gathering and processing information. The concept is ...

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Discussion of Simon's concepts in reference to decision making.

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Managerial Decision Making - Bounded Rationality

Can I get help with these two questions? I need a 150-200 word response for both. My computer is not letting me pull up the website on the first question.

1. Visit the website http://motherjones.com/politics/1977/09/pinto-madness and read the article concerning the Ford Pinto. How did the decision making process help to create the problems for the Ford Pinto? Do these decisions represent optimizing behavior or satisficing on the part of Ford? If you were Lee Iacocca, would you have decided differently? How?

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

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