ANALYZE THE STIMULUS:Fact:
country Z increased the customs duty on imported bicycles.Conclusion:
the increase will result in Z’s small bicycle workshops taking more customers from major domestic bicycle manufacturers than would have been taken by foreign companies if the customs duty had not been increased.Assumption:
Small bicyle workshops can manufacture same quality but cheaper bicycles than domestic bicycle manufactures do.To weaken: (1)
Show that small bicycle workshops do not manufacture cheaper
bicycles than domestic bicycles manufacture do.
Show that small bicycle workshops enter a different market segment
==> they do not compete to domestic bicycle manufacture.ANALYZE EACH ANSWER:
(A)Small bicycle workshops produce bicycles of higher quality than major bicycle manufacturers in country Z.Wrong.
, not weaken. Nobody wants to buy less quality products.
(B)In response to Z’s increasing its customs duty on imported bicycles, some countries will restrict imports of bicycles from country Z.Wrong.
Does not help to weaken the conclusion “Small workshops will take more customers of domestic manufactures”.
(C)Bicycles that were imported to country Z are very similar in quality and price to those produced by Z’s major bicycle manufacturers.Wrong.
Does not help to weaken “Small workshops will take more customers of domestic manufactures”
(D)Many customers consider quality to be the major criterion in selecting their bicycles.Wrong.
Customers consider quality, but who produces more quality bicycles? Small workshops or domestic manufactures? We don’t know.
(E)Unlike major bicycle manufacturers in country Z, small bicycle workshops produce expensive customized bicycles for professional cyclists.Correct.
E says small workshops enters a different market segment – expensive customized bicycles
, so they will not compete directly to domestic manufactures.
Waiting for OA.
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