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Analyst: The pace of technological development brings a

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Analyst: The pace of technological development brings a [#permalink] New post 25 Jun 2008, 02:59
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B
C
D
E

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Analyst: The pace of technological development brings a constant stream of new devices to the market, and many of them enjoy commercial success. But announcing new technology too soon after the introduction of a successful device can backfire. Once consumers hear about the new device, they may stop buying the one currently on sale. So, if a company wishes to announce the upcoming sale of a new device, it should wait until purchases of the old device have begun to decline.

Which of the following, if true, would best support the analyst's main assertion?

A.New technology often becomes less expensive after an initial surge in sales.
B.Media outlets, such as television programs and magazines, often report on the planned introduction of new devices while the sales of old devices are still strong.
C.Many consumers are unable to determine whether new technology is superior to current technology.
D.Surveys have shown that some consumers make only one or two technology purchases per year, whereas others make more frequent purchases.
E.Consumers tend to be loyal to technology companies whose products they enjoy using.
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Re: CR: Strengthen [#permalink] New post 25 Jun 2008, 03:20
I think, B is the answer.
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Re: CR: Strengthen [#permalink] New post 25 Jun 2008, 08:23
yavasani wrote:
Analyst: The pace of technological development brings a constant stream of new devices to the market, and many of them enjoy commercial success. But announcing new technology too soon after the introduction of a successful device can backfire. Once consumers hear about the new device, they may stop buying the one currently on sale. So, if a company wishes to announce the upcoming sale of a new device, it should wait until purchases of the old device have begun to decline.

Which of the following, if true, would best support the analyst's main assertion?

A.New technology often becomes less expensive after an initial surge in sales.
B.Media outlets, such as television programs and magazines, often report on the planned introduction of new devices while the sales of old devices are still strong.
C.Many consumers are unable to determine whether new technology is superior to current technology.
D.Surveys have shown that some consumers make only one or two technology purchases per year, whereas others make more frequent purchases.
E.Consumers tend to be loyal to technology companies whose products they enjoy using.


IMO (c) is correct.
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Re: CR: Strengthen [#permalink] New post 25 Jun 2008, 10:05
yavasani wrote:
Analyst: The pace of technological development brings a constant stream of new devices to the market, and many of them enjoy commercial success. But announcing new technology too soon after the introduction of a successful device can backfire. Once consumers hear about the new device, they may stop buying the one currently on sale. So, if a company wishes to announce the upcoming sale of a new device, it should wait until purchases of the old device have begun to decline.

Which of the following, if true, would best support the analyst's main assertion?

A.New technology often becomes less expensive after an initial surge in sales. -> irrelevant
B.Media outlets, such as television programs and magazines, often report on the planned introduction of new devices while the sales of old devices are still strong. -> irrelevant, talks about common practice that might be wrong
C.Many consumers are unable to determine whether new technology is superior to current technology. -> irrelevant (new devices are supposed to be better)
D.Surveys have shown that some consumers make only one or two technology purchases per year, whereas others make more frequent purchases. -> irrelevant
E.Consumers tend to be loyal to technology companies whose products they enjoy using.-> relevant (consumers are going to buy an old device and then buy a new device because they enjoy the old one)


E
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Re: CR: Strengthen [#permalink] New post 25 Jun 2008, 10:27
B.Media outlets, such as television programs and magazines, often report on the planned introduction of new devices while the sales of old devices are still strong.

we are talking about the sales of new technology devices which might be affected by the devices that are in the market , that is in the media outlets.
If media outlets are interested in introducing new devices into the sops while old ones are still sold, Who will buy the old ones. Analyst is asserting on that point.


IMO B.
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Re: CR: Strengthen [#permalink] New post 25 Jun 2008, 10:30
Going with E here.

E if true confirms that the analyst's assertion will hold.
E in other words says that the consumers won't go to other companies and thus, would wait for the new product from the same company. Hence, it makes sense to follow the analyst's idea.

-------------

Edit:
I guess, I'm wrong with the assertion part of the argument. B should be the correct one. i would have got this one wrong on the GMAT under the time constraint.
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Re: CR: Strengthen [#permalink] New post 25 Jun 2008, 10:53
B

Since people always like to buy the latest devices in the market they mighy hold on their purchase to wait till th enew product is launched. So the analysts says the company must not announce the new device until th epurchases of the old device have begun to decline.
But how does teh public know about the new products?
Thru the media - company can make an annoucement or leak of info.
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Re: CR: Strengthen [#permalink] New post 28 Jun 2008, 18:55
OA is B
Re: CR: Strengthen   [#permalink] 28 Jun 2008, 18:55
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