The Chief Financial Officer (CFO) of a corporation is of the strong
belief that marketing is not a good use of the company’s money.
Someone shows her data from several years ago showing that during
a period of high spending on marketing, sales did not go up. She
says, “See, I told you marketing is not a good use of our budget!” and
cuts the marketing budget to almost zero. Following the cut in the
marketing budget, sales also start to drop dramatically. When asked
by an employee if the drop in sales is due to the cut in the marketing
budget, she says, “No!” and insists there must be a different
explanation. What kind of decision-making bias do you think this
represents, and why? What steps would you recommend to this CEO
to reduce this kind of bias? Support your answer with references to at
least one of the three background readings
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