Problem:
Rita, the sales manager of a large multinational company, relies on her experience and instinct rather than quantifiable data to predict the future trends in the demand for their product. She says, "I think we should increase the inventory of our product by 20 percent. I feel there is going to be a huge spike in the next quarter." This scenario exemplifies the human compromise known as Multiple Choice bounded rationality. subjective rationality. stereotyping. simplicity.