[KongchangAI]
ConceptBounded Rationality

Bounded Rationality

A theory proposed by Herbert Simon holding that decision-makers are constrained by information, time, and cognitive capacity, and therefore seek satisfactory solutions rather than optimal ones.

Timeline (last 90 days)

Oct 22

Herbert Simon proposed the bounded rationality model, holding that consumers, facing limited information, time and psychological constraints, do not pursue the optimal solution but look for an option that feels good enough.

Unverified50%

All Facts (1)

Source Articles