bounded rationality

bounded rationality definition - business

bounded rationality

A model of management behavior that recognizes decisions must be made with constraints on information availability and on the ability of a person to consider every possibility. In general, individuals do the best they can with the information and decision-making ability that is available.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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