Question

Don, a restaurant manager and MBA student, was reflecting on how he can apply the classical management viewpoint in his store from a recent class, which supposes his employees are rational in their decisions. True or False?

1) True
2) False

Answer 1

The statement is False. The classical management viewpoint assumes employees are rational, but people often make decisions that seem less than rational due to factors like emotions and mindset.

Step-by-step explanation:

The statement is False.

The classical management viewpoint assumes that employees are rational in their decisions. However, people often make decisions that seem less than rational and contradict traditional consumer theory. This is because traditional theory ignores people's state of mind or feelings, which can influence their behavior. For example, people tend to value a dollar lost more than a dollar gained, even though the amounts are the same.

Therefore, Don, the restaurant manager and MBA student, should consider the limitations of the classical management viewpoint and take into account the irrational aspects of employee decision-making in his store.