Are we wisely waiting or merely drifting? That’s a question many corporate leaders will be asking themselves in the coming weeks and months. Uncertainty is not a new concept. But today’s political uncertainty — epitomized by the U.S. tariff edicts and global responses to them, ranging from threats to negotiation — seems to be having a distinct, paralyzing effect. Companies are deferring investments, such as chemical giant Dow with its now delayed construction of a new plant. Companies are also postponing sales; for example, Nintendo pushed back preorders of its next console. Finally, companies are delaying decisions: Bookings for shipping containers and airfreight have fallen significantly from a year ago. The secretary general of the International Chamber of Commerce has said that this behavior is evidence that companies are “kicking decisions down the road” on supply chain restructuring as they watch how trade policies and relations develop.

Wait and see can be a dysfunctional response to change or uncertainty if it leads to missed opportunities or an increase in the eventual cost or risks related to actions. However, wait and see can also be a smart strategy for delaying commitments while observing an evolving situation.

When should a wait-and-see strategy be deployed, and how can it be executed effectively? Let’s explore the key issues for corporate leaders.