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PAYOFFS

Alternatives
Expand Current Shop
Move to Large Facility
No Change
PAYOFFS
Alternatives
Expand Current Shop
Move to Large Facility
No Change

REGRET
Alternatives
Expand Current Shop
Move to Large Facility
No Change

Good Market
$56,000
$70,000
$30,000

Outcomes
Average Market
$21,000
$35,000
$10,000

Poor Market
-$29,000
-$45,000
$5,000

Good Market
$56,000
$70,000
$30,000

Outcomes
Average Market
$21,000
$35,000
$10,000

Poor Market
-$29,000
-$45,000
$5,000

Good Market
$14,000
$0
$40,000

Outcomes
Average Market
$14,000
$0
$25,000

Poor Market
$34,000
$50,000
$0

Maximax
Max Payoff
$56,000
$70,000
$30,000

Choice
Best

Realism (Hurwicz)
Realism Payoff
Choice
$22,000
$24,000
Best
$20,000

0.6
Minimax
Max regret
$34,000
$50,000
$40,000

Choice
Best

Maximin
Min Payoff
-$29,000
-$45,000
$5,000

Choice

Best

Equally Likely
Average Payoff
Choice
$16,000
$20,000
Best
$15,000