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A group of executives has to allocate investment funds between six possible product lines. Their objectives are: (i) to maximize the growth of the company,
A group of executives has to allocate investment funds between six possible product lines. Their objectives are: (i) to maximize the growth of the company, (ii) to maximize export earnings, (iii) to maximize profit and (iv) to minimize risk. After much debate, the group decides to assign the following across-criteria weights: Growth: 100; Exports: 10; Profit: 80; Risk: 20. Discuss how these weights could have been derived and explain what they mean.
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