When decision makers lack complete information on action alternatives and their consequences but have some knowledge of the probabilities associated with the various outcomes, they are operating in an environment of uncertainty.

Question

Quizplus · Accepted Answer

When decision makers have some knowledge of the probabilities associated with various outcomes, they are operating in an environment of risk, not uncertainty. In an environment of uncertainty, the probabilities of outcomes are not known.

When Decision Makers Lack Complete Information on Action Alternatives and Their