Kunfu Company is planning to build a new manufacturing and distribution facility in TT, KK, SS, CC or AA. The company has estimated the facility cost in each country will vary depending on the economic conditions prevailing. The table below provides the cost under three different economic conditions.
Region Economic Climate
Improved Same Worsen
TT 2170 1910 1520
KK 1900 1850 1760
SS 1920 1710 1490
CC 2250 1680 1380
AA 2500 2120 1250
Determine the best decision, using the following decision criteria:
i) Minimin
ii) Minimax
iii) Hurwicz (á = 0.7)
iv) Equal likelihood