Why are cognitive biases important in data analytics?
A) Because such biases must be dismissed as an error.
B) Because they help to determine pricing.
C) Because understanding of irrelevant judgement helps to avoid errors.
D) Because it should be avoided in data analytics.

Question

Quizplus · Accepted Answer

Understand the concept of data-driven marketing. For instance, in data science people may be biased to seeing that lower prices result in more sales. If the analytics reveal that as price goes down, sales also go down, the analyst may dismiss this as an error. Although it could be an error, it could also be that the product being examined is a prestige product.

Why Are Cognitive Biases Important in Data Analytics