Find all School-related info fast with the new School-Specific MBA Forum

It is currently 29 Aug 2014, 08:19

Close

GMAT Club Daily Prep

Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.

Customized
for You

we will pick new questions that match your level based on your Timer History

Track
Your Progress

every week, we’ll send you an estimated GMAT score based on your performance

Practice
Pays

we will pick new questions that match your level based on your Timer History

Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.

Events & Promotions

Events & Promotions in June
Open Detailed Calendar

logic (carpet market)

  Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
SVP
SVP
User avatar
Joined: 03 Feb 2003
Posts: 1613
Followers: 5

Kudos [?]: 44 [0], given: 0

logic (carpet market) [#permalink] New post 15 Jul 2004, 00:43
There is relatively little room for growth in the overall carpet market, which is tied to the size of the population. Most who purchase carpet do so only once or twice, first in their fifties or sixties. Thus as the population ages, companies producing carpet will be able to gain market share competitors, and not through more aggressive marketing.

Which one of the following, if true, casts the most doubt on the conclusion above?

(A) Most of the major carpet producers market other floor coverings as well.
(B) Most established carpet producers market several different brand names and varieties, and there is no re-maining niche in the market for new brands to fill.
(C) Two of the three mergers in the industry’s last ten years led to a decline in profits and revenues for the newly merged companies.
(D) Price reductions, achieved by cost-cutting in production, by some of the dominant firms in the carpet market are causing other producers to leave the market altogether.
(E) The carpet market is unlike most markets in that consumers are becoming increasingly resistant to new pat-terns and styles.
Manager
Manager
avatar
Joined: 02 Jul 2004
Posts: 218
Followers: 1

Kudos [?]: 1 [0], given: 0

GMAT Tests User
 [#permalink] New post 15 Jul 2004, 01:05
I would vote for A but the logic is not clear to me at all
Senior Manager
Senior Manager
User avatar
Affiliations: CFA Level 2
Joined: 05 May 2004
Posts: 267
Location: Hanoi
Followers: 1

Kudos [?]: 6 [0], given: 0

GMAT Tests User
 [#permalink] New post 15 Jul 2004, 04:09
2 mins and C. I will explain if I'm right.
_________________

"Life is like a box of chocolates, you never know what you'r gonna get"

Manager
Manager
User avatar
Joined: 20 Jun 2004
Posts: 169
Location: Noida, UP
Followers: 1

Kudos [?]: 22 [0], given: 0

 [#permalink] New post 15 Jul 2004, 04:30
Very reluctantly, I'll mark D. The thing is not clear to me.
Senior Manager
Senior Manager
avatar
Joined: 05 Feb 2004
Posts: 291
Location: USA
Followers: 1

Kudos [?]: 2 [0], given: 0

GMAT Tests User
 [#permalink] New post 15 Jul 2004, 05:32
A for me.........
GMAT Club Legend
GMAT Club Legend
avatar
Joined: 15 Dec 2003
Posts: 4318
Followers: 20

Kudos [?]: 156 [0], given: 0

GMAT Tests User
 [#permalink] New post 15 Jul 2004, 06:29
I think question is missing one word which would make it clearer:
There is relatively little room for growth in the overall carpet market, which is tied to the size of the population. Most who purchase carpet do so only once or twice, first in their fifties or sixties. Thus as the population ages, companies producing carpet will be able to gain market share from competitors, and not through more aggressive marketing

I would pick D because if competitors are leaving the market, there will be no need to capture new clients from competitors. Companies will just have to get new clients with more aggressive marketing without having to "steal" them from competitors
_________________

Best Regards,

Paul

Senior Manager
Senior Manager
avatar
Joined: 26 Jan 2004
Posts: 402
Location: India
Followers: 1

Kudos [?]: 0 [0], given: 0

GMAT Tests User
 [#permalink] New post 15 Jul 2004, 06:49
I agree with Paul, (D) is best.
(I think the first part of argument is not needed to find an answer!)
SVP
SVP
User avatar
Joined: 03 Feb 2003
Posts: 1613
Followers: 5

Kudos [?]: 44 [0], given: 0

 [#permalink] New post 15 Jul 2004, 07:06
the official answer is D.
Manager
Manager
avatar
Joined: 02 Jul 2004
Posts: 218
Followers: 1

Kudos [?]: 1 [0], given: 0

GMAT Tests User
 [#permalink] New post 15 Jul 2004, 07:47
I would agree with Paul if the argument was "companies producing carpet WILL gain market share from competitors" instead of "companies producing carpet WILL BE ABLE to gain market share from competitors"

As the argument stands, to cast doubt on it we have to show that companies WILL NOT BE ABLE to gain market share from competitors

The fact that there are now fewer businesses operating in the industry does not mean that companies WILL NOT BE ABLE to gain market share from competitors (as population ages and the demand grows)

No answer choice casts doubt on the argument as far as I'm concerned

Please comment everybody
Manager
Manager
User avatar
Joined: 20 Jun 2004
Posts: 169
Location: Noida, UP
Followers: 1

Kudos [?]: 22 [0], given: 0

 [#permalink] New post 15 Jul 2004, 07:50
OlegC wrote:

No answer choice casts doubt on the argument as far as I'm concerned

Please comment everybody


When I said I reluctantly marked D, I also meant that I could not find any statement casting doubt on the argument. Just that D comes closer than the rest in doing that.
Director
Director
User avatar
Joined: 13 Nov 2003
Posts: 971
Location: Florida
Followers: 1

Kudos [?]: 15 [0], given: 0

GMAT Tests User
 [#permalink] New post 15 Jul 2004, 07:55
chose D.

tried to explain, but then noticed Paul's explanation and figured that I have nothing else to add :wink:
SVP
SVP
User avatar
Joined: 16 Oct 2003
Posts: 1816
Followers: 4

Kudos [?]: 35 [0], given: 0

GMAT Tests User
 [#permalink] New post 16 Jul 2004, 10:50
Firt I could not find the answer and the chose A since it looked close to me.
  [#permalink] 16 Jul 2004, 10:50
    Similar topics Author Replies Last post
Similar
Topics:
2 Experts publish their posts in the topic A rectangular-shaped carpet remnant that measures x feet by Stiv 3 28 Jun 2012, 14:09
Marketing Xng 9 23 Mar 2011, 16:15
Marketing hiddenname 4 25 Sep 2010, 17:43
PS: Floor to be carpeted Nusa84 5 12 Jul 2010, 04:49
A piece of carpet is in the shape of a trapezoid. The top ben928 6 04 Oct 2007, 18:00
Display posts from previous: Sort by

logic (carpet market)

  Question banks Downloads My Bookmarks Reviews Important topics  


GMAT Club MBA Forum Home| About| Privacy Policy| Terms and Conditions| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group and phpBB SEO

Kindly note that the GMAT® test is a registered trademark of the Graduate Management Admission Council®, and this site has neither been reviewed nor endorsed by GMAC®.