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A researcher interviews only successful shops that have operated for ten years and concludes that opening a shop almost always leads to success. What is the main weakness of this conclusion?

Answer and explanation

Correct answer: Shops that closed or failed have been excluded from the investigation

Studying only surviving businesses ignores those that closed. This creates survivorship bias and can exaggerate the apparent probability of success.

Related tags

Survivorship BiasBusiness ResearchSamplingEvidence Evaluation

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