Decision making and investment decisions essay

Investment Decisions Investment Decisions Investment projects are a big and an important part of Romania's economy. Through this thesis we can find out more about the profitability of an investment, more specifically, in the case study I chose a project from the oilfield area, where I'm trying to find out the impact of having the biggest mud plant from the country, built after German standards. Investment notion defines a complex and very controversial financial category. At a first look, investment appears just as a growth in the company's initially heritage:

Decision making and investment decisions essay

Words sample essay on Decision Making

The ability to decide and choose wisely and rightly is often a matter of how the problem was posed. Though we try to be as logical as possible in taking a decision, sometimes we end up making illogical choices.

So, it is important to understand how people decide things to avoid bad judgments. The sad truth is that people, even at the highest level, simply do not like to make good choices as every decision involves a certain amount of risk.

It would be pertinent to keep in mind that a decision-making process means repeatedly proving your ability. So, have a clear understanding of your individual decision-making style.

Keep in mind, when it comes to decisions, the best one can do is hope to make more good decisions than bad ones.

Effective investment decision making is essential to corporate survival and long-term success. These decisions help to mould company's future opportunities and develop competitive advantage by influencing, among other things, its technology, its processes, its working practices and its profitability. This essay explores the keys stages in the capital investment decision-making process. Capital investments decisions should not be made on an ad hoc basis, but rather should connect to the organization’s existing and planned investment programme. PURDUE EXTENSION EC Capital Investment Analysis and Project Assessment Michael Boehlje and Cole Ehmke Department of Agricultural Economics Capital investment decisions that involve the purchase of items such as land, machinery, buildings, or equipment are among the most important decisions undertaken by the business manager.

And it is equally true that nobody is very good in taking all types of decisions. The manner in which an individual takes or arrives at a decision depends to an extent on his or her inherent nature. The eagerness of a person with an impatient nature would often lead him to jump into quick decision.

Similarly, a person with high degree of emotions tends to decide quickly on whatever feels good. People who care for others and do not want to hurt or disturb them would take a long time to decide.

Also, there are people who would like to have all kinds of information before they come to a conclusion. After assessing your decision making style, find someone with an opposite style with whom you can establish a system of checks and balances.

Also, do not forget to analyze the impact of your decision before hand, something which people fail to do. One needs to assess the impact not only on the basis of money and resources, but also what happens if that particular decision is not taken.

In doing so it would be important to maintain your objectivity. While gathering and evaluating information people fail to realize how biased they are.

To make better decisions, it needs to be understood fully how biases may be tampering with logic. If you are under a high level of stress, it may cause you to search randomly, rather than systematically to support your choices.

Decision making and investment decisions essay

During stress, you are more likely to have a bias towards the first idea you hear about, without carefully exploring others.

In the process you may overlook or minimize the possible problems and you may end up making a decision you will regret. Similarly, a heavy emotional leaning, though not a sign of poor judgment, is a signal that you should at least be cautious.

In your emotional excitement, you may be simply overlooking finer points of the other alternative available. Of course, you must listen to your emotions. But be aware as they may also lead you astray or away from a logical choice.

Fear, anger, envy and elation are other aspects which can cause you to lose your better judgment and lead to counterproductive decisions. The self-deception of wishful thinking can also cause erroneous judgments. It is because you want something to be true and hence you distort the evidence in its favour.Essay on Decision Making Words 13 Pages Decision making can be described as a process of making a decision or decisions, based on choices made amongst two or more competing course of actions.

The Keys Stages in the Capital Investment Decision-Making Process Essay

Investment Decisions In The Economic Theory Finance Essay. Abstract: The aim of the paper is to present how investment decisions are made and what investment risk is, what role it has in the investment decision. Investment Decisions. Investment projects are a big and an important part of Romania's economy.

Through this thesis we can find out more about the profitability of an investment, more specifically, in the case study I chose a project from the oilfield area, where I'm trying to find out the impact of having the biggest mud plant from the country, built after German standards. search essay examples.

browse by category. browse by type. Get Expert. Essay Editing Help. upload your essay. 4 pages. The Summary and Critique of the Article Making Ethical Decisions. 1, words. 2 pages. How Personality Types and Temperament Affect Decision Making and Problem Solving Skills.

words. 2 pages. Company. . This essay explores the keys stages in the capital investment decision-making process. Capital investments decisions should not be made on an ad hoc basis, but rather should connect to the organization’s existing and planned investment programme.

words sample essay on Decision Making Vineet Prakash Advertisements: Keep in mind, when it comes to decisions, the best one can do is hope to make more good decisions than bad ones. And it is equally true that nobody is very good in taking all types of decisions.

Investment Decisions - Free Finance Essay - Essay UK