Graded Homework

Your employer, It’s Electric, an electrical fixtures supply
company has decided to purchase company cars for all of the sales staff. You
have been asked to select the line of automobiles that should be purchased. You
have decided that on grounds of economy and longevity you want to purchase one
of those solid, stalwart, middle-class Swedish cars–either a Volvo or a Saab.
As a prudent and sensible buyer, you go to Consumer Reports, which informs you
that the consensus of their experts is that the Volvo is mechanically superior,
and the consensus of the readership is that the Volvo has the better repair
record.

Prior to meeting with the Volvo sales people you talk the
decision over with your supervisor. He reacts with disbelief and alarm: ‘A
Volvo! You’ve got to be kidding. My brother-in-law had a Volvo. First, that
fancy fuel injection computer thing went out. Had to replace it.

Then the transmission and the clutch. Finally sold it in
three years for junk.'”(Adapted from: Nisbett, R.E., et al., “Popular
Induction: Information is Not Always Informative”, in J.S. Carroll &
J.W. Payne (Editors), Cognition and Social Behavior, Halsted, 1976)

Part 1:

Identify and explain the type of heuristics or bias in the
reaction of your supervisor.

Part 2:

After doing some additional research you still believe that
Volvo is the best car for your company. Compose an email to your supervisor to
try and convince him of the advantages to the Volvo. Use any research you can
locate on the internet to support your decision.