Diseconomies of scale is a scenario that occurs when the growth of a particular company brings about an increase in the company's cost per unit. A rise in output in turn, leads to a rise in cost.
Therefore, if a large, undiversified oil company used information technology in order to manage organizational coordination, it is likely trying to offset problems with diseconomies of scale.
In this scenario, Jim and his friends are going through the evaluating alternatives part of the decision-making process. This is when an individual analyzes all of the options that provide the product or service that they are trying to obtain. They go through all the details of each option in order to obtain the absolute best deal. This allows the consumer to obtain all of the products or services that they want but by paying the lowest possible price in comparison to the other options.