SBC Packers Co. is a logistics company owned by Engr. Sheera Bee Cabanlit. Anticipating the growing demand for delivery services, she developed a strategic plan for the year 2022. The options are to hire additional delivery crews in their Mandaue facility, construct a new facility in Talisay City, or subcontract Ohlala Move, a small-time company. A study conducted by the marketing department forecasted the following payoff values, which are summarized in the table below. The values are expressed as gains and alpha = 0.4. * Which decision alternative has a minimum payoff value from the maximum regrets? Which realism approach decision alternative has maximum payoff?
SBC Packers Co. is a logistics company owned by Engr. Sheera Bee Cabanlit. Anticipating the growing demand for delivery services, she developed a strategic plan for the year 2022. The options are to hire additional delivery crews in their Mandaue facility, construct a new facility in Talisay City, or subcontract Ohlala Move, a small-time company. A study conducted by the marketing department
Which decision alternative has a minimum payoff value from the maximum regrets?
Which realism approach decision alternative has maximum payoff?
![States of Nature
Decision Alternatives
Failure
Low
Moderate
High
Hire additional Drivers in Mandaue
-450,000
-250,000
250,000
500,000
Construct a facility in Talisay
-800,000
-400,000
300,000
700,000
Subcontracting Ohlala Move
-100,000
-10,000
150,000
300,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd4afc6db-cdc2-4d98-ade2-5ae83c9b9b85%2F0cd38f6b-9951-4527-a096-c965c7d5c6bb%2Fia5zpl_processed.jpeg&w=3840&q=75)
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