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What is the Decision Tree?

Updated: 8/9/2023
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12y ago

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Decision trees are used mainly in the business world to help strategize many business investments and planning. It would include things such as possible outcomes, costs, etc.

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11y ago
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Q: What is the Decision Tree?
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What role does a decision tree play in business decision-making?

Decision trees help managers visualize how their choices will play out within the organization. Using a decision tree, management can assess multiple options at once.


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What leadership theory uses a a decision tree to determine the appropriate level of participation by subordinates in decision-making?

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How decision tree help the manager in decision making?

A decision tree will help a manager decide which direction that he will moe the business in. e.g. if a business is looking to expand than they would be able to use a decision tree in order to come to a decision in terms of which direction they will expand in. It looks at the different expansion ideas and looks at the possible outcomes for these. It will however only show financial factors affecting the outcome as it analysis solely financial factors.


What is the purpose of a decision tree?

The purpose of a decision tree is to find a strategy that will obtain the desired goal. It uses several things like costs, outcomes and consequences to reach the best possible result.


What are the advantages of a decision tree?

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