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Create a decision tree for this problem. b. What decision should Larry Junior make according to the EMV criterion? c. What is the minimum settlement offer Larry Junior should accept according to the EMV criterion? d. What would you do if you were Larry Junior? e. If you were advising Larry Junior, what other issues might you want to consider in making this decision? In the mid-1990s, DHL was the world’s largest shipping company, with $5.7 billion in revenue and 60,000 employees. Larry Hillblom was the “H” in DHL and founder of the company. DHL started on a shoestring budget in 1969 with a business plan to deliver shipping documents by air courier to ports of call days before cargo ships arrived, so that vessels could be unloaded quickly upon arrival and be on their way. The company grew into an international air courier, making Hillblom a millionaire before he turned 30. While not as famous in the U.S. as Federal Express, overseas DHL is so ubiquitous that its name is synonymous with next-day-air shipping in the same manner that the word “Coke” is used to mean “soft drink.” To avoid U.S. income taxes, Hillblom moved from the San Francisco Bay area to Saipan, a tropical tax haven a thousand miles off the southeast coast of Japan. He became a Micronesian kingpin, launching dozens of businesses and financing land development projects in the Philippines, Hawaii, and Vietnam. He owned European castles and hotels, a Chinese jet, an airline called Continental Micronesia a
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