Betty and David decide to conduct a survey to observe people's reaction to their innovative idea for a new product. With the help of an organization that conducts primary research, the couple are able to get the responses of people from their town. The results are very encouraging and they decide to start their company. What error have they committed?
A) hypercorrection
B) cognitive distortion
C) law of small numbers
D) defense mechanism
E) overregularization

Question

Quizplus · Accepted Answer

The error they have committed is the law of small numbers, which refers to drawing conclusions based on a small sample size. While the results may be encouraging, they may not accurately represent the larger population's reaction to the product. Therefore, Betty and David may face issues when they scale up their business, and the product may not perform as well as they expect.

Betty and David Decide to Conduct a Survey to Observe