Madison Foods makes frozen dinners that it sells through grocery stores. Typical products include turkey, pot roast, fried chicken, and meatloaf. The managers at Madison have recently proposed a line of frozen chicken pies. They take the following actions to help decide whether to launch the line.
a. Madison’s test kitchen prepares a number of possible recipes for a consumer focus group.
b. Sales managers estimate they will sell more chicken pies in their eastern sales territory than in their western sales territory.
c. Managers discuss the possibility of introducing a new chicken pie.
d. Managers compare actual labor costs of making chicken pies with their budgeted costs.
e. Profits from selling chicken pies are budgeted.
f. The company decides to introduce a new chicken pie.
g. To help decide whether to introduce a new chicken pie, the company researches the price and quality of competing chicken pies.
Required:
Classify each of the actions (a–g) as a step in the five-step decision-making process (identify the problem and uncertainties; obtain information; make predictions about the future; make decisions by choosing among alternatives; implement the decision, evaluate performance, and learn). The actions are not listed in the order they are performed.
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