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Natural Disasters And The Decisions That Follow Coi Clarke MGNT 3300 Dr. Friedrich.

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Presentation on theme: "Natural Disasters And The Decisions That Follow Coi Clarke MGNT 3300 Dr. Friedrich."— Presentation transcript:

1 Natural Disasters And The Decisions That Follow Coi Clarke MGNT 3300 Dr. Friedrich

2 When Disaster Strike Nationwide Jeff Rommel 40 billion in damages 850 million pay out JetBlue David Neeleman

3 Question 1 1.Insurance companies in the state of Florida earned record profits in 2006, suggesting in light of the calm hurricane seasons (in Florida) in 2005-2007 that nationwide decision to cancel policies may have cost the company potential revenue and customer goodwill. Do you think Rommel’s Quote about making a “sound business decision” reveals any perceptual or decision-making biases? Why or Why not? yes he uses the availability bias because he made a decisions based on information that was provided to him instead of looking at the future. Where he could have made back the 850 million that he lost.

4 Question 2 2. In each of the three cases discussed here, which organizational constraints were factors in the decisions made? performance evaluation, Formal regulations, and System-imposed time constraints were all factors in the decisions that were made

5 Question 3 3.How do you think people like Rommel, Burgin, and Neeleman factor ethics into their decisions? Do you think the welfare of policy owners and passengers enter into their decisions? I do not believe ethics were a factor in the decisions made but I however do believe that the welfare of the customers were not taken into consideration.

6 Thank You!


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