Multiple choice

In which theory, are decisions made on the basis of a limited approximate model of the real situation?

  1. Classical theory

  2. Traditional theory

  3. Neo classical theory

  4. Behavioural theory

Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Behavioral theory in management emphasizes that individuals have 'bounded rationality' and make decisions based on simplified models of reality rather than perfect information.