If a company reports a significant increase in profits after implementing a new

If a company reports a significant increase in profits after implementing a new marketing strategy, which of the following can be inferred?

If a company reports a significant increase in profits after implementing a new marketing strategy, which of the following can be inferred?

Step 1: Understand that the company has reported higher profits.
Step 2: Recognize that the company changed its marketing strategy.
Step 3: Consider that the new marketing strategy might have helped increase profits.
Step 4: Realize that other factors could also have contributed to the profit increase, such as market conditions or cost reductions.
Step 5: Conclude that while the new strategy may have played a role, we cannot say it is the only reason for the profit increase without more information.

Causation vs Correlation – Understanding that just because two events occur together (profit increase and new marketing strategy) does not mean one caused the other.
Evidence Requirement – Recognizing the need for additional evidence to establish a direct causal relationship between the marketing strategy and profit increase.