1. Decision Making

1. Given the following decision tree where the endpoints of the tree are in payoffs and we are maximizing our payoffs. License Technology 25 23 Demand High Patent (0.25 13 Awarded -10 55 10.7) Develop Demand Medium Continue Marketing & (0.55 33 21 Development Production Demand Low (0.20) 15 3 No Patent Awarded 10.3) -2 Stay Development Perform a one-way sensitivity analysis on the probability (p) for No Patent Awarded. (Currently this value is set at 0.3). Hint: replace the 0.3 with variable p. and find the values of p where each one of the decision strategies is preferable