Selecting a sample that closely represents the population is critical to business problem-solving. Here are some of the errors:
● Cyclical business induced errors — If we are looking at buying behaviour, taking samples around Christmas and Diwali will not be representative of the overall behaviour.
● Specification error — If the study is around sales of toys, and we survey the mothers only, that may not be accurate as children influence the buying behaviour.
● Sample frame error — This error happens when we select the wrong sub-population. For instance, our study was to understand if the population favours a new policy that has been introduced in India. We survey everyone who speaks English. It may not be accurate as ~90% of the country’s population does not speak English.