Kallie Inc., a small parts manufacturer, has just engineered a new product for the automotive industry. In order to produce the part the company can expand existing facilities, acquire a competitor, or subcontract production. The company believes the product will either experience high market demand or low market demand. The following payoff table describes the company's decision situation.

States of Nature Decision High Demand Low Demand

Expand Facilities $2,000,000 -$1,250,000

Acquire Competitor $750,000 -$500,000

Subcontract Production $250,000 $25,000

The best decision for Kallie Inc. using the maximax decision criterion is to

A. subcontract production.

B. acquire competitor.

C. select high demand.

D. expand facilities.