Question
A prominent consultant was once asked: "How much should a company spend making an important business decision?" His response: "I always recommend the ‘10 Percent Rule.' So, if the decision is about an expenditure of $100,000, then the company should spend roughly $10,000 making the decision.
If the expenditure would be $10,000, then making the decision should cost $1,000. And so on." What do you see as the strengths and weaknesses of the 10 Percent Rule?