A decision that I have had to make was whether or not to go back to
school. I have been running a small business for the last decade and
prior to 2020 (covid) it was doing well. When everything was shut down
I, and many other small business owners that I have met through the
years, found ourselves having to find a new way. Many of us found that
not having in person functions available was hugely detrimental. At the
end of 2020 I had to start thinking what route I wanted to take for the
future. The choices were to stay with my business and try to get it back
to where it once was (knowing it could take years and would be like
starting over), use my previous work experience to try and find a job (in
a industry that I was very unhappy in) or go back to school to get a
second degree to work in a field that I have wanted to get in for years. I
knew that the second option was not one I was wanting to take and I
started looking for programs that I could enter that allowed me the time
to continue running my business, that I could afford, and that would not
take me many years to complete.
The decision making process that I went through was much like that
described in the book. I knew that there was some uncertainty ahead in
my business (step 1). I researched about the different options available
moving forward, and thought about how each option could affect my
future (steps 2 &3). In the end a made a choice and enrolled in school
(steps 4&5).
The opportunity cost of my decision is the potential success and re-
growth in my business. Because of the time I am investing in school I
have cut back my "growth efforts" in my business and have been
running at a slower pace. Choosing less sales opportunities and instead
focusing on the next steps in my life.
When making my decision there were certainly qualitative factors
involved, especially in choosing not to return to an industry that I was
highly unhappy in. However, The quantitative factors were ultimately
the deciding factors. If the option to return to school was not financially
feasible I would have had to take a different route. Being able to find
the right program and the right price was the ultimate deciding factor.
Datar, S. M., & Rajan, M. V. (2018). Horngren's cost accounting: A
managerial emphasis, global edition, 16/E 12. PEARSON EDUCATION
LIMITED.
