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Approximately two hundred brands of personal computers are [#permalink]
 21 Feb 2007, 08:34
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Approximately two hundred brands of personal computers are being manufactured, but we currently limit our inventory to only the eight most popular brands. We plan to increase greatly the number of computers we sell by expanding our inventory to include the ten best-selling brands.
Which of the following, if true, points out a major weakness of the plan above?
(A) The capabilities of three most popular personal computers add to be approximately equivalent, with no brand having consistent superiority in all respects.
(B) The seven most popular brands of personal computers account for almost all computers sold.
(C) As the users of personal computers become more sophisticated, they are more willing to buy less well-known brands of computers.
(D) Less popular brands of computers often provide less profit to the retailer because prices must be discounted to attract customers.
(E) The leading brand of personal computer has been losing sales to less popular brands that offer similar capabilities for less money.
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SVP
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Re: CR - Personal Computer [#permalink]
21 Feb 2007, 08:46
Approximately two hundred brands of personal computers are being manufactured, but we currently limit our inventory to only the eight most popular brands.
(B) The seven most popular brands of personal computers account for almost all computers sold.
Meaning, the stores inventory already contains the brands which account for most of the computer sales. The store can best increase the sales by carrying more of the top 7 brands rather than by carrying the top 10 brands.
B strongly weakens the argument.
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Senior Manager
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B for me as well - it attacks the fact that adding more variety will not increase sales.
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Can someone explain why not 'E'?
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rdg wrote: Can someone explain why not 'E'?
I believe E is wrong because E only compares the leading brand to lesser brands , but the lesser brands could also be brand 2, or 3 or 4.
However the argument is comparing the top 8 brands to the 9th and 10th brand saying adding those last 2 would strongly increase sales.
Hope this is somewhat clear.
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I go with B
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B
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B
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B
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Re: CR - Personal Computer [#permalink]
22 Feb 2007, 07:27
B.
Points out that adding more brands of computers will only marginally (if that) increase sales since the top 7 take most sales in the market
E actually strengthens the argument. If the less popular brands are gaining ground then it would benefit the company to stock more of those brands.
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OA is 'B'
I understood why 'E' is wrong. Thanks guys.
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Agree with B
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