Leaders may be driven to take excessive risks due to several factors:
1. Overconfidence: When leaders possess an inflated belief in their abilities, they may underestimate potential downsides. 2. Pressure to Perform: High expectations from stakeholders can push leaders to make bold moves. 3. Desire for Innovation: The pursuit of innovation and competitive advantage may lead to taking significant risks. 4. Past Successes: Previous accomplishments can create a false sense of security, encouraging leaders to take larger risks.