Statement: A marketing director is choosing between two advertising campaigns. Campaign A has worked well historically but targets a shrinking demographic. Campaign B is innovative but untested, targeting a growing market segment. The director keeps gravitating toward Campaign A because "it's always worked before."
What cognitive bias is affecting the decision, and how should it be addressed?
Show answer & explanation
Correct answer: B
Explanation
The director repeatedly chooses Campaign A because "it's worked before." He fears change and wants to maintain the current or old status quo, even though Campaign A's market (demographics) is shrinking.
This mental state is called status quo bias, where a person views any change as a disadvantage and feels comfortable with the old/familiar status quo.
Correct answer: Status quo bias; systematically evaluate both campaigns based on current market data.