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Director
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Sales of a new chocolate bar were considerably boosted [#permalink]
08 Oct 2012, 21:30
Question Stats:
27% (02:30) correct
72% (01:15) wrong based on 4 sessions
Sales of a new chocolate bar were considerably boosted recently by an advertisement that featured a classic rock song. The candy manufacturer's decision to also use classic rock songs in commercials for its older and more popular products, in the hopes of boosting profits, is NOT based on the assumption that ___________________. A. thanks to the new advertising strategy, all of the company's older products will sell at least as well as the new chocolate bar. B. sales of a particular product can be increased by a memorable or catchy advertisement campaign. C. use of classic rock songs will be more commercially effective than the advertising techniques currently used by the company for its older products D. the majority of customers who buy one kind of candy bar from the company will not stop buying other candy bars made by the same company. E. the licensing costs associated with using classic rock songs in commercials will be substantially offset by the increased profits resulting from those commercials.
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Last edited by thevenus on 10 Oct 2012, 13:29, edited 1 time in total.
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Director
Status: Final Countdown
Joined: 17 Mar 2010
Posts: 566
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Followers: 10
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
08 Oct 2012, 22:01
lvtrung205 wrote: between B and E, i choose E. OA? Ans is neither B nor E.Tricky huh ! Please elaborate the reasoning behind your answer choice.
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Director
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
08 Oct 2012, 22:04
Answer should be D. All other statements pass the LEN test. EDIT: Quite a tough one. Now that i review my answer, yes the "all" in choice A IS a gamebreaker. So i revise my answer to A. Although eliminating D also requires quite a lot of assumption. I'd like to know about the source of the question since it is quite confusing.
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Last edited by MacFauz on 09 Oct 2012, 00:33, edited 2 times in total.
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
08 Oct 2012, 22:11
My answer is D. D. the majority of customers who buy one kind of candy bar from the company will not stop buying other candy bars made by the same company. Whats OA?
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Manager
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
08 Oct 2012, 23:59
thevenus wrote: Sales of a new chocolate bar were considerably boosted recently by an advertisement that featured a classic rock song. The candy manufacturer's decision to also use classic rock songs in commercials for its older and more popular products, in the hopes of boosting profits, is NOT based on the assumption that ___________________.
A. thanks to the new advertising strategy, all of the company's older products will sell at least as well as the new chocolate bar. B. sales of a particular product can be increased by a memorable or catchy advertisement campaign. C. use of classic rock songs will be more commercially effective than the advertising techniques currently used by the company for its older products D. the majority of customers who buy one kind of candy bar from the company will not stop buying other candy bars made by the same company. E. the licensing costs associated with using classic rock songs in commercials will be substantially offset by the increased profits resulting from those commercials.
Let's discuss, OA/OE after some discussions. conclusion of the owner: use of classic rock song in the advertisement will increase the sale of the older products just like it did for the new ones. WE HAve to show : that the owner did not assume anything that would decrease the sales of newr plus older products. now look at the option. A-- increase in sales is assumed B-- sales increase C-- use of song will be COMMERCIALLY effective D--buying one candy will not effect the sales of the other product..means either one of the products will sell... COULD BE THE ANSWER E-- licensing the song will be offset by the profits which means there will be NO LOSS..!! Kaboom... now only option left is D...so, D wins!! Whats the OA?
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
09 Oct 2012, 00:07
thevenus wrote: Sales of a new chocolate bar were considerably boosted recently by an advertisement that featured a classic rock song. The candy manufacturer's decision to also use classic rock songs in commercials for its older and more popular products, in the hopes of boosting profits, is NOT based on the assumption that ___________________.
A. thanks to the new advertising strategy, all of the company's older products will sell at least as well as the new chocolate bar. - B. sales of a particular product can be increased by a memorable or catchy advertisement campaign. C. use of classic rock songs will be more commercially effective than the advertising techniques currently used by the company for its older products D. the majority of customers who buy one kind of candy bar from the company will not stop buying other candy bars made by the same company. E. the licensing costs associated with using classic rock songs in commercials will be substantially offset by the increased profits resulting from those commercials.
Let's discuss, OA/OE after some discussions. here 4 option has be the assumption - from A to D all options gives us a reason why the manufacturer decides to go with rock song strategy. But if E were assumed then there is no reason follow the same strategy as his goal is to increase profit .
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
09 Oct 2012, 00:12
aditi1903 wrote: thevenus wrote: Sales of a new chocolate bar were considerably boosted recently by an advertisement that featured a classic rock song. The candy manufacturer's decision to also use classic rock songs in commercials for its older and more popular products, in the hopes of boosting profits, is NOT based on the assumption that ___________________.
A. thanks to the new advertising strategy, all of the company's older products will sell at least as well as the new chocolate bar. B. sales of a particular product can be increased by a memorable or catchy advertisement campaign. C. use of classic rock songs will be more commercially effective than the advertising techniques currently used by the company for its older products D. the majority of customers who buy one kind of candy bar from the company will not stop buying other candy bars made by the same company. E. the licensing costs associated with using classic rock songs in commercials will be substantially offset by the increased profits resulting from those commercials.
Let's discuss, OA/OE after some discussions. conclusion of the owner: use of classic rock song in the advertisement will increase the sale of the older products just like it did for the new ones. WE HAve to show : that the owner did not assume anything that would decrease the sales of newr plus older products. now look at the option. A-- increase in sales is assumed B-- sales increase C-- use of song will be COMMERCIALLY effective D--buying one candy will not effect the sales of the other product..means either one of the products will sell... COULD BE THE ANSWER E-- licensing the song will be offset by the profits which means there will be NO LOSS..!! Kaboom... now only option left is D...so, D wins!! Whats the OA? hey the question is asking to chose the option which is not an assumption - the goal here is to increase profit thro sales of older products. For option D-> If ppl stop buying new products because of the sales of the older products then manufacturer will not make MORE PROFIT, either the profit will remain the same or can even decrease, so he needs to assume this to reach his goal. Hence this not our answer! what say?
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
09 Oct 2012, 00:14
A, IMHO A seems to say that the company wants atleast same sales for the old bars with the new music. the company just wants sales. It nowwhere mentions the amount of sales it needs. so A is unnecessary. D, on the contrary, is a useful assumption which says that with older products being sold, the new product sales will decrease which works against what the manufacturer wants.
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
09 Oct 2012, 00:26
souvik101990 wrote: A, IMHO A seems to say that the company wants atleast same sales for the old bars with the new music. the company just wants sales. It nowwhere mentions the amount of sales it needs. so A is unnecessary. D, on the contrary, is a useful assumption which says that with older products being sold, the new product sales will decrease which works against what the manufacturer wants. hi souvik101990 - even the "all" in option A is glaring but for what reasons did you kill E?
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
09 Oct 2012, 00:29
E. the licensing costs associated with using classic rock songs in commercials will be substantially offset by the increased profits resulting from those commercials. If this is not assumed then the company won't be able to make new profits! The premise clearly mentions that the company wants to boost profits.
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
09 Oct 2012, 02:20
Jp27 wrote: aditi1903 wrote: thevenus wrote: Sales of a new chocolate bar were considerably boosted recently by an advertisement that featured a classic rock song. The candy manufacturer's decision to also use classic rock songs in commercials for its older and more popular products, in the hopes of boosting profits, is NOT based on the assumption that ___________________.
A. thanks to the new advertising strategy, all of the company's older products will sell at least as well as the new chocolate bar. B. sales of a particular product can be increased by a memorable or catchy advertisement campaign. C. use of classic rock songs will be more commercially effective than the advertising techniques currently used by the company for its older products D. the majority of customers who buy one kind of candy bar from the company will not stop buying other candy bars made by the same company. E. the licensing costs associated with using classic rock songs in commercials will be substantially offset by the increased profits resulting from those commercials.
Let's discuss, OA/OE after some discussions. conclusion of the owner: use of classic rock song in the advertisement will increase the sale of the older products just like it did for the new ones. WE HAve to show : that the owner did not assume anything that would decrease the sales of newr plus older products. now look at the option. A-- increase in sales is assumed B-- sales increase C-- use of song will be COMMERCIALLY effective D--buying one candy will not effect the sales of the other product..means either one of the products will sell... COULD BE THE ANSWER E-- licensing the song will be offset by the profits which means there will be NO LOSS..!! Kaboom... now only option left is D...so, D wins!! Whats the OA? hey the question is asking to chose the option which is not an assumption - the goal here is to increase profit thro sales of older products. For option D-> If ppl stop buying new products because of the sales of the older products then manufacturer will not make MORE PROFIT, either the profit will remain the same or can even decrease, so he needs to assume this to reach his goal. Hence this not our answer! what say? yes you are right...but D is the only option which the owner wil not assume...."sales profits not to be decreased by the introduction and endorsements of older products with a new look." for all the reasons you have understood are correct but just flip the understanding a bit. Lemme know if thr's still s doubt !
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Re: Sales of a new chocolate bar were considerably boosted recen [#permalink]
09 Oct 2012, 10:25
thevenus wrote: Sales of a new chocolate bar were considerably boosted recently by an advertisement that featured a classic rock song. The candy manufacturer's decision to also use classic rock songs in commercials for its older and more popular products, in the hopes of boosting profits, is[color=#ff0000] NOT based on the assumption that[/color] ___________________.
A. thanks to the new advertising strategy, all of the company's older products will sell at least as well as the new chocolate bar. B. sales of a particular product can be increased by a memorable or catchy advertisement campaign. C. use of classic rock songs will be more commercially effective than the advertising techniques currently used by the company for its older products D. the majority of customers who buy one kind of candy bar from the company will not stop buying other candy bars made by the same company. E. the licensing costs associated with using classic rock songs in commercials will be substantially offset by the increased profits resulting from those commercials.
Let's discuss, OA/OE after some discussions. The argument is: Advertisement featuring old classic song = boost in sales of new chocolate bar. Hence, classic rock songs in commercials for older and more popular products = boost in profits (An important point worth noting is that it says commercials for old products will boost profits, not necessarily sales or profits of the product for which the advertisement is rolled out. The answer choices doesn't play with this - But it's useful to note down such technicalities in advance. You may ignore this for the answer purpose) Now the question is: The decision to boost profit by using classic rock songs in commercials for older and more popular products is NOT based on the assumption that Don't approach it as a "Which one of the following logically completes........" question. We have to find the answer choice that is either an irrelevant assumption or undermines the argument. A) Correct - thanks to the new advertising strategy, all of the company's older products will sell at least as well as the new chocolate bar. This states that because of the new advertising strategy the old products will sell atleast as well as the new choc bar. Why would a new campaign be required, if the current one has already done so much? This clearly can't be the reason/assumption behind the campaign. B) Incorrect - Sales of a particular product can be increased by a memorable or catchy advertisement campaign. This can be an assumption. This assumption certifies that increase in sales of new CB was not a coincidence and can be replicated across products. C) Incorrect - Use of classic rock songs will be more commercially effective than the advertising techniques currently used by the company for its older products. This assumption states that the new strategy will be more effective than the existing one. D) Incorrect - The majority of customers who buy one kind of candy bar from the company will not stop buying other candy bars made by the same company. This assumption states that a new campaign will create fresh sales and not just cannabalise sales from an existing product. E) Incorrect - The licensing costs associated with using classic rock songs in commercials will be substantially offset by the increased profits resulting from those commercials. This assumption doesn't need any elaboration, it clearly strengthens the argument! Revenue due to increased sales > Cost of campaign => Net Positive Profit. What's the source of OA, are you sure it's correct?
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Re: Sales of a new chocolate bar were considerably boosted [#permalink]
20 Feb 2013, 22:40
Experts opinion required on this. Rgds, Saurabh
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Re: Sales of a new chocolate bar were considerably boosted
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20 Feb 2013, 22:40
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