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How to Use the Sunk Cost Fallacy in Office Politics
Season 2
Episode 86
Published 1 month, 2 weeks ago
Description
Lucas and Luna dive into the Sunk Cost Fallacy at work — why we cling to bad projects, toxic relationships, and failing strategies just because we've already invested time, money, or ego. They unpack a real case: a product manager at a mid-sized SaaS company who kept funding a feature nobody used because her team had spent 18 months building it. Lucas explains the neuroscience behind the fallacy (loss aversion + commitment bias) and offers a three-step framework — pre-commit, reframe, and cut-loss — to break free. Luna pushes back on whether it's ever rational to stay in a sinking ship, and they land on a nuanced take: sunk cost is a trap, but reputation is real. Episode 86 of The Office Politics Podcast.