Question

Establishing a preset level at which the decision is abandoned or re-evaluated is recommended mainly to:

A. Increase risk-taking
B. Avoid escalation of commitment
C. Speed up the decision-making process
D. Enhance creativity

Answer 1

Establishing a preset level is recommended to avoid escalation of commitment and prevent further commitment of resources to a decision that is not working out as expected.

Step-by-step explanation:

The recommended reason for establishing a preset level at which the decision is abandoned or re-evaluated is to Avoid escalation of commitment. When a decision is not working out as expected, it is important to be able to re-evaluate and potentially abandon the decision to prevent further commitment of resources and avoid escalating the negative consequences.