Question

Helena needs to decide whether she can afford to make her bikinis in two additional colors that are trending for the coming season. she knows exactly how much credit she has with suppliers but not exactly how many swimsuits will sell. this is a decision. if helena bases her decision partly on past sales data and partly on her intuition from years in the fashion industry, the model would best describe her decision-making process.

Answer 1

Helena needs to decide ..................................... how many suits will sell. This is a PROGRAMMED DECISION.
If Helena bases her decision partly on past sales data and partly on her intuition from years in the fashion industry, the ADMINISTRATIVE model will best describe her decision making process.
1. From the business point of view, decisions are divided into two basic classes, which are programmed and non programmed decisions. Programmed decisions refer to those decisions that are made based on experience that one has gathered in the time past. Similar decisions that are successful had been made in the past and the manager build on this platform to make the new decision. Non programmed decisions refer to those decisions that involve situations that are new and in which there are no proven results to use as guide.
2. There are three models of decision making, these are: political, administrative and classical. Administrative decision making process involves making decisions based on full information and proper analyses of all alternatives in order to achieve the desired goals.