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Six months or so after getting a video recorder, many early

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Senior Manager
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Six months or so after getting a video recorder, many early [#permalink] New post 16 Apr 2007, 17:39
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Six months or so after getting a video recorder, many early buyers apparently lost interest in obtaining videos to watch on it. The trade of businesses selling and renting videos is still buoyant, because the number of homes with video recorders is still growing. But clearly, once the market for video recorders is saturated, businesses distributing videos face hard times.

Which of the following, if true, would most seriously weaken the conclusion above?

(A) The market for video recorders would not be considered saturated until there was one in 80 percent of homes.

(B) Among the items handled by video distributors are many films specifically produced as video features.

(C) Few of the early buyers of video recorders raised any complaints about performance aspects of the new product.

(D) The early buyers of a novel product are always people who are quick to acquire novelties, but also often as quick to tire of them.

(E) In a shrinking market, competition always intensifies and marginal businesses fail.

OA: D. I picked B. :(
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Re: CR - video recorder [#permalink] New post 16 Apr 2007, 18:41
ricokevin wrote:
Six months or so after getting a video recorder, many early buyers apparently lost interest in obtaining videos to watch on it. The trade of businesses selling and renting videos is still buoyant, because the number of homes with video recorders is still growing. But clearly, once the market for video recorders is saturated, businesses distributing videos face hard times.

Which of the following, if true, would most seriously weaken the conclusion above?

(A) The market for video recorders would not be considered saturated until there was one in 80 percent of homes.

We are not so worried about the recorders. We are worried about the video renting business and the fact that people MAY not buy the videos any longer after an initial period. Irrelevant.


(B) Among the items handled by video distributors are many films specifically produced as video features.

Irrelevant - let's just concentrate on whether the market is going to slump or not. Many films specifically produced as video features doesn't help prove sales of videos will continue because we don't know whether audience would like it


(C) Few of the early buyers of video recorders raised any complaints about performance aspects of the new product.

Irrelevant -

(D) The early buyers of a novel product are always people who are quick to acquire novelties, but also often as quick to tire of them.

RIght - this choice singles out these early buyers as early retirees from the game of renting business - thankfully there's still a market outside of
these early buyers who would keep the renting business bouyant.


(E) In a shrinking market, competition always intensifies and marginal businesses fail.

OK - but which marginal business?? Irrelevant

OA: D. I picked B. :(


D is fine.
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 [#permalink] New post 16 Apr 2007, 19:06
Agree with dwivedys explaination above. Rest of the choices can be easily discarded as being irrelevant.

Hi ricokevin, try not to put the OA along with the question. Since you will again come back to the post to see other's reply, you can then post the OA once the members have had a discussion. You can even join in between the discussion with your views if you need further clarification.

Keep posting the good questions :wink: and Happy GMAtting
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Last edited by buzzgaurav on 16 Apr 2007, 19:14, edited 1 time in total.
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 [#permalink] New post 16 Apr 2007, 19:09
PLEASE DO NOT POST THE OA WITH THE QUESTION
Though this question is rotten old but still ....
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 [#permalink] New post 17 Apr 2007, 17:43
Swagatalakshmi wrote:
PLEASE DO NOT POST THE OA WITH THE QUESTION
Though this question is rotten old but still ....



D !

[Swagatalakshmi,Eat somesweet RASGULLAS :) to get over the rotten stuff]
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 [#permalink] New post 19 Apr 2007, 10:23
Straight D for me.

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 [#permalink] New post 19 Apr 2007, 10:36
D for me
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 [#permalink] New post 20 Apr 2007, 21:41
Answer is D....
  [#permalink] 20 Apr 2007, 21:41
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