1. Quantitative Methods: Should We Bother?

  1. Paolo Brandimarte

Published Online: 24 MAY 2011

DOI: 10.1002/9781118023525.ch1

Quantitative Methods: An Introduction for Business Management

Quantitative Methods: An Introduction for Business Management

How to Cite

Brandimarte, P. (2011) Quantitative Methods: Should We Bother?, in Quantitative Methods: An Introduction for Business Management, John Wiley & Sons, Inc., Hoboken, NJ, USA. doi: 10.1002/9781118023525.ch1

Publication History

  1. Published Online: 24 MAY 2011
  2. Published Print: 4 APR 2011

ISBN Information

Print ISBN: 9780470496343

Online ISBN: 9781118023525

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Keywords:

  • decision problem;
  • probability;
  • quantitative methods;
  • statistics;
  • uncertainty

Summary

This chapter illustrates a few toy examples that hopefully provide a person with enough motivation to proceed. The author has emphasized the role of data to make decisions. If one knew all of the relevant data in advance, then the task would be considerably simplified. Nevertheless, the chapter shows that even in such an ideal situation some quantitative analysis may be needed. More often than not, uncertainty makes the life harder (or more interesting). The chapter deals with different examples in which he has to make a decision under uncertainty. The standard tools that help us in such an endeavor are provided by probability and statistics. Nevertheless, the chapter shows that some concepts, such as probability, can be somewhat dependent on the context. Finally, the chapter discusses how, when, and why quantitative methods (QMs) can be useful, while pointing out their limitations.

Controlled Vocabulary Terms

decision errors; probability; quantitative forecasting; uncertainty