What are you required to do according to the following road sign?

1. Correct answer: Slow down and be ready to brake or turn to avoid the pedestrians in the vicinity.
2. Give right-of-way to traffic from the opposite direction.
3. Drive faster and cross the place quickly.
4. Honk continuously before the road sign.

WhyPedestrians may step onto the road, so slow down and be ready to brake or steer around them. No need to honk or speed up.