International Association of Accessibility Professionals (IAAP) Certified Administrative Professional (CAP) Practice Exam

What does “escalation of commitment” imply in decision-making?

1. Increasing investment in a failing course of action

2. Abandoning strategies that are not working

3. Recognizing when to pivot in strategies

4. Making decisions based on quantitative data alone

The correct answer is: Increasing investment in a failing course of action

The term "escalation of commitment" refers to a psychological phenomenon where individuals or groups continue to invest time, money, or resources into a decision or project despite evidence indicating that it is failing or not yielding the intended results. This behavior often stems from a desire to avoid admitting failure, the fear of loss, or a belief that additional support might eventually lead to success. In the context of decision-making, escalation of commitment illustrates how emotions and cognitive biases can drive people to stick with an unsuccessful strategy instead of cutting their losses and moving on to more fruitful options. It highlights the importance of recognizing when a chosen course of action is no longer viable and understanding that persistence in such cases can be detrimental to overall goals. This concept is particularly relevant in business and organizational settings, where resources are often limited, and strategic decisions significantly impact success.