Asia paci?c journal of management

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An article in the Asia Paci?c Journal of Management discusses the importance for ?rms to invest in social ties.8 A company is considering paying $150,000 for social activities over one year, hoping that productivity for the year will rise. Estimates are that there is a 50% chance that productivity would not change; there is a 20% chance that the company's pro?ts would rise by $300,000; and there is a 10% chance of a rise of $500,000. There is also a 20% chance that employees will learn to waste time and that pro?ts would fall by $50,000. Construct a decision tree and recommend a course of action.

Reference no: EM13968780

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