Final answer:
In marketing, short-term thinking leads to many problems is true because it hampers long-term alignments and investments, making markets erratic and slow to adjust, which ultimately can lead to surpluses and shortages.
Step-by-step explanation:
In marketing, the assertion that short-term thinking leads to many problems is true. When businesses focus solely on the short-term, they may miss out on the opportunity to align their strategies with long-term market dynamics. Short-term thinking can prevent businesses from making necessary capital investments to build new factories, hire new workers, or open new stores, which are actions more feasible in the long term. High and variable inflation further weakens the incentives for businesses to adjust to price changes, making markets more erratic and slow to reach equilibrium, thus increasing the chance of surpluses and shortages.
Long-term planning is essential since it allows companies to accommodate and anticipate the broader economic changes that affect equilibrium prices and quantities in the market, ensuring a better adjustment to market needs and avoiding the pitfalls of short-term disruptions. Without a long-term perspective, businesses may also fail to invest in sustainability and innovation, which are crucial for long-term success.