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The company A has acquired a textile company and wants to make a decision regarding the future of one of its main facilities located in

The company A has acquired a textile company and wants to make a decision regarding the future of one of its main facilities located in Antalya. There are three alternative decisions that can be made. First, the decision can be made to expand the facility. Second, the current state can be maintained. Third, the factory can be sold. The table below shows how the structure varies depending on the state of the economy.

In case of a strong economy In case of a decline in the economy
expand 800,000 $ $ 500,000
Maintain the current state 1,300,000 -150,000
Sell now 320,000 320,000

Accordingly, determine the best decision using the decision criteria below and explain each decision criterion:

Maximax

Maximin

Minimax regret

Hurwicz

Equal probability

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