a director of the sales department of Beta Medical writes a letter to the team, which directly markets to medical professionals:
Our team is a leading figure in the industry. Last year, we had a 7% increase in profit. But based on an in-house research, we found that we have higher expense on entertainment, such as dining, than our competitors. Thus, we are going to cut the expense in entertainment. We believed that after we cut the expense in entertainment to the average expense in the industry, we will have more than 7% increase in profit.
1. Wrong analogy
2. Inadequate research
3. Oversimplication