CHAPTER 3

Correlation and Causation

Perhaps no single concept is more pervasive and important in marketing than the notion of cause and effect. Marketing practitioners depend on it in the planning and implementation of programs designed to obtain responses from consumers. Ideas of advertising affecting sales, opinion leaders influencing the adoption of new products, or promotion activities producing interest and preferences for one’s wares all rely implicitly on mechanisms of cause and effect.1

Many of the logical fallacies in this book, such as Alleged Certainty, the Hasty Generalization, and Affirming the Consequent, are influenced by the cardinal sin of equating correlation with causation. How do you tell the difference between mere correlation ...

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