Satisficing

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Definition of 'Satisficing'

A decision-making strategy that aims for a satisfactory or adequate result, rather than the optimal solution. This is because aiming for the optimal solution may necessitate needless expenditure of time, energy and resources. The term "satisfice" was coined by American scientist and Noble-laureate Herbert Simon in 1956.

Investopedia Says

Investopedia explains 'Satisficing'

The theory of satisficing finds application in a number of fields including economics, artificial intelligence and sociology. Satisficing implies that a consumer, when confronted with a plethora of choices for a specific need, will select a product or service that is "good enough", rather than expending effort and resources on finding the best possible or optimal choice.
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'Satisficing'

  • Microeconomics: Assumptions and Utility | Investopedia

    http://www.investopedia.com/university/microeconomics/microeconomics2.asp
    ... Nobel Memorial Prize winner in economics, Herbert A. Simon, postulated
    his theory of "satisficing" to address this apparent flaw. ...

  • Microeconomics: A Brief History | Investopedia

    http://www.investopedia.com/university/microeconomics/microeconomics1.asp
    ... the 1950s, Herbert A. Simon (1916-2001), a 1978 Nobel Memorial Prize-winner in
    economics, introduced a simpler theory of consumer behavior called "satisficing ...

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