Decision Analysis under Uncertainty using Maximax, Maximin, Minimax Regret Criterions | ShinStats

Decision Analysis using Maximax, Maximin, Minimax Regret Criterions | ShinStats

Sample Problems:

A manager is deciding whether or not to build a small facility. Demand is uncertain and can be either at a high or low level. If the manager chooses a small facility and demand is low, the payoff is $300. If the manager chooses a small facility and demand is high, the payoff is $100. On the other hand, if the manager chooses a large facility and demand is low, the payoff is -$200, but if demand is high, the payoff is $800.

Reference:
Accessed 24 January 2024