Question

Participate in a discussion by explaining why we diverge from the Rational Choice Paradigm when identifying problems and opportunities. Share with your classmates a decision-making workplace experience which required you to identify problems and opportunities, and evaluate alternatives and outcomes when making an effective decision.

Answer 1

Workplace experience in a mid size company, which is a service provider in industrial sales and service, typical family based business.

Problems identified:

• Typical family business mentality, failing to meet corporate level image and business
• No ERP/ CRM softwares to keep track of Sales records/ customer contacts/ revenue per customer, work in old traditional ways, hence making it difficult for a new sales team member to perform sales activities properly

Opportunities:

• Identify new industry segments and customers where company has not sold/ reached yet
• Sell to those suspect customers, where company failed to sell in past
• Identify new products/ partnerships which could be added to grow company’s product basket

Outcomes and Evaluations:

• Developed more number of customers, better market reach and share. Evaluation- like a Cash cow in BCG matrix (low cash usage + moderate/ better cash generation)
• Identified new markets like Hydro and Thermal, to sell existing industrial category products, compared to existing market of Diesel power plant. Evaluation- like a Dog in BCG matrix (high cash generation + low cash usage)
• Indentified new similar products/ partnerships from international market, where new products could be bundled with existing ones as package and sold to existing customers/ markets, at lower price and with a better solution set- (high cash generation + moderate cash usage)
• Indentified new markets- offshore & maritime business to sell new products, can be sold at premium pricing, with a higher sales/ service quality level- grown- Evaluation- like a Star in BCG matrix (high cash generation + moderate cash usage)