The Plexis Corporation, a leading computer chip
manufacturer, is currently developing a new chip,
which is faster and more efﬁcient than any computer
chip currently in use. The new chip will be released for
sale in twelve months. Plexis’ market research has
shown that initial sales of the new chip would be
maximized by starting to advertise it now, but the
company has decided to wait another six months
before doing so.
Which of the following, if true, provides the Plexis
Corporation with the best reason for postponing
advertising its new chip?
(A) Some computer users are reluctant to purchase
new computer products when they are ﬁ rst
(B) The cost of an advertising campaign capable of
maximizing initial sales of the new chip would be
no greater than campaigns previously
undertaken by Plexis.
(C) Advertising the new chip now will signiﬁ cantly
decrease sales of Plexis’ current line of
(D) Plexis’ major rivals in the computer chip
manufacturing business are developing a chip
with capabilities that are comparable to those of
Plexis’ new chip.
(E) Taking full advantage of the capacities of the
new chip will require substantial adjustments in
other segments of the computer industry
I got the question right. However, I would like to hear your thoughts on why (E) is wrong. My reasoning with (E) goes like this:
The Plexis corp. is waiting for major changes in other segments of the computer industry that are expected in 6 months. For example, the new chip might have a feature that is not supported by current motherboards. But new motherboards will be announced in 6 months. So the Plexis Corp. decided to wait for that announcement. Had they decided not to wait, it would be useless to market the chip (because, as I have said, the new feature is yet to be supported by motherboards), and the advertisement campaign would result in wasted money.
The OA is a slightly better choice.