Morale is something that generally is simply determined by the GM. Facing organized foes will usually have a commander of some sort, directing their actions. Where these nuances are less in play and combat is more chaotic, Morale is there to help direct the outcome of an individual or unit’s assessment of the situation. There are many factors that play into Morale: training, loyalty, organization/disposition, experience, command, familiarity with the field and/or circumstances.