Escalation of commitment: a comparison of differences between Mexican and U.S. decision-makers

Abstract

Differences in tendencies toward escalation of commitment are examined in a comparative study of Mexican and US decision-makers. Results show that Mexican subjects were significantly more inclined toward escalation. Mexican subjects also reported significantly greater confidence in their escalatory decisions, and subjects from both countries escalated their commitment when bad news about the investment came from subordinates. Furthermore, Mexican subjects made relatively smaller additional investments when they were personally responsible for the initial investment decision.

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