GM CEO Rick Wagoner stuck to a cost cutting strategy that streamlined GM's operations and focused on SUVs and trucks during a time when other automakers saw promise in the green movement. This behavior best reflects:
A)satisficing
B)risk aversion
C)escalation of commitment
D)the garbage can model of decision making

Question

Quizplus · Accepted Answer

Rick Wagoner's decision to continue focusing on SUVs and trucks despite the emerging green movement and the potential for change in the automotive industry reflects an escalation of commitment. This is a situation where individuals or companies continue to follow a particular course of action or strategy even in the face of negative outcomes or the availability of a more viable alternative, often due to the significant resources already committed.

GM CEO Rick Wagoner Stuck to a Cost Cutting Strategy