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

It is currently 20 Aug 2014, 18:23

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

When trying to identify new technologies that promise to

  Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:
Manager
Manager
avatar
Joined: 02 Aug 2006
Posts: 227
Location: Taipei
Followers: 2

Kudos [?]: 5 [0], given: 0

GMAT Tests User
When trying to identify new technologies that promise to [#permalink] New post 18 Sep 2006, 01:14
1
This post was
BOOKMARKED
00:00
A
B
C
D
E

Difficulty:

  25% (medium)

Question Stats:

69% (02:35) correct 31% (01:36) wrong based on 377 sessions
When trying to identify new technologies that promise to transform the marketplace, market researchers survey the managers of those companies that are developing new technologies. Such managers have an enormous stake in succeeding, so they invariably overstate the potential of their new technologies. Surprisingly, however, market researchers typically do not survey a new technology’s potential buyers, even though it is the buyers-not the producers-who will ultimately determine a technology’s commercial success.


Which of the following, if true, best accounts for the typical survey practices among market researchers?


A:If a new technology succeeds, the commercial benefits accrue largely to the producers, not to the buyers, of that technology.

B:People who promote the virtues of a new technology typically fail to consider that the old technology that is currently in use continues to be improved, often substantially.

C:Investors are unlikely to invest substantial amounts of capital in a company whose own managers are skeptical about the commercial prospects of a new technology they are developing.

D:The potential buyers for not-yet-available technologies can seldom be reliably identified.

E:The developers of a new technology are generally no better positioned than its potential buyers to gauge how rapidly the new technology can be efficiently mass-produced.
[Reveal] Spoiler: OA
Kaplan Promo CodeKnewton GMAT Discount CodesManhattan GMAT Discount Codes
1 KUDOS received
Director
Director
avatar
Joined: 02 Mar 2006
Posts: 582
Location: France
Followers: 1

Kudos [?]: 8 [1] , given: 0

GMAT Tests User
 [#permalink] New post 18 Sep 2006, 04:32
1
This post received
KUDOS
A:If a new technology succeeds, the commercial benefits accrue largely to the producers, not to the buyers, of that technology.
out
B:People who promote the virtues of a new technology typically fail to consider that the old technology that is currently in use continues to be improved, often substantially.
out

C:Investors are unlikely to invest substantial amounts of capital in a company whose own managers are skeptical about the commercial prospects of a new technology they are developing.
out- explains why researchers have an interest in surveying managers, but grounds for not surveying customers are not provided.
D:The potential buyers for not-yet-available technologies can seldom be reliably identified.
In : here s the reason!
E:The developers of a new technology are generally no better positioned than its potential buyers to gauge how rapidly the new technology can be efficiently mass-produced.
out- if not better positioned, then why do the researchers focus on managers only!?
VP
VP
User avatar
Joined: 02 Jun 2006
Posts: 1270
Followers: 2

Kudos [?]: 36 [0], given: 0

GMAT Tests User
 [#permalink] New post 18 Sep 2006, 05:31
D:The potential buyers for not-yet-available technologies can seldom be reliably identified.


The survey cannot poll the customers as the customers are not known. Therefore, it makes sense for the survey to talk only to the company managers.

Answer: D
Senior Manager
Senior Manager
User avatar
Joined: 11 Jul 2006
Posts: 385
Location: TX
Followers: 1

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

GMAT Tests User
 [#permalink] New post 18 Sep 2006, 07:47
haas_mba07 wrote:
D:The potential buyers for not-yet-available technologies can seldom be reliably identified.


The survey cannot poll the customers as the customers are not known. Therefore, it makes sense for the survey to talk only to the company managers.

Answer: D



D it is for the reason stated by hass_mba.
It is the reason why surveyers don't poll potential customers.
Director
Director
avatar
Joined: 10 Oct 2005
Posts: 532
Location: US
Followers: 1

Kudos [?]: 8 [0], given: 0

GMAT Tests User
 [#permalink] New post 18 Sep 2006, 08:41
we want to explain why buyers are not included in the survey for new technology, one reason may be that they are not easily identifiable...

E it is
Director
Director
User avatar
Joined: 28 Dec 2005
Posts: 761
Followers: 1

Kudos [?]: 8 [0], given: 0

GMAT Tests User
 [#permalink] New post 18 Sep 2006, 12:11
simple D. if you can't identify buyers, there's no chance of interviewing them.
VP
VP
avatar
Joined: 21 Mar 2006
Posts: 1136
Location: Bangalore
Followers: 2

Kudos [?]: 20 [0], given: 0

GMAT Tests User
 [#permalink] New post 20 Sep 2006, 01:06
Easy D.

Conclusion: Market researchers prefer talking to the technology developers rather than the technology buyers even though the developers exaggerate the capabilities of their respective technologies.

CR type: Resolve/Explain. - why do the market researchers prefer talking to developers rather than the buyers?

A - Hmmm....Maybe..Keep.
B - Out of scope.
C - this explains why the managers exaggerate, NOT why the researchers ask the developers.
D - YES!!! So thats why they dont ask the buyers...they don't know who they are!
E - eh?? even if it were within scope, it would weaken the argument
Director
Director
avatar
Joined: 23 Jun 2005
Posts: 847
GMAT 1: 740 Q48 V42
Followers: 5

Kudos [?]: 23 [0], given: 1

GMAT Tests User
 [#permalink] New post 21 Sep 2006, 17:47
D for me. How can one know who will buy the product, if nobody has seen the product before?
Going by the number of responses, I'm sure the other options have already been well discussed. :wink:
Expert Post
2 KUDOS received
Veritas Prep GMAT Instructor
User avatar
Joined: 16 Oct 2010
Posts: 4665
Location: Pune, India
Followers: 1070

Kudos [?]: 4773 [2] , given: 163

Re: When trying to identify new technologies that promise to [#permalink] New post 09 Jul 2012, 20:26
2
This post received
KUDOS
Expert's post
jerrywu wrote:
When trying to identify new technologies that promise to transform the marketplace, market researchers survey the managers of those companies that are developing new technologies. Such managers have an enormous stake in succeeding, so they invariably overstate the potential of their new technologies. Surprisingly, however, market researchers typically do not survey a new technology’s potential buyers, even though it is the buyers-not the producers-who will ultimately determine a technology’s commercial success.


Which of the following, if true, best accounts for the typical survey practices among market researchers?


A:If a new technology succeeds, the commercial benefits accrue largely to the producers, not to the buyers, of that technology.

B:People who promote the virtues of a new technology typically fail to consider that the old technology that is currently in use continues to be improved, often substantially.

C:Investors are unlikely to invest substantial amounts of capital in a company whose own managers are skeptical about the commercial prospects of a new technology they are developing.

D:The potential buyers for not-yet-available technologies can seldom be reliably identified.

E:The developers of a new technology are generally no better positioned than its potential buyers to gauge how rapidly the new technology can be efficiently mass-produced.


Responding to a pm:

Question: Which of the following, if true, best accounts for the typical survey practices among market researchers?

Let's find out what the survey practices are.

Market surveyors try to find the new technology that will be a commercial success in the near future (perhaps to invest or whatever). They survey the managers that are developing new technologies (who tend to overstate the potential of their new technologies).
However, market researchers typically do not survey the potential buyers (even though it is the buyers who determine commercial success).

Here is the problem. The researchers survey the managers (even though their opinion may be biased) but not the buyers (whose opinion drives commercial success). What will resolve this paradox? If they survey 'just the buyers' or at least 'the buyers too'. They want the opinion of the managers, they can take it but they MUST take the opinion of the buyers. The paradox here is that they don't take the opinion of the buyers. All you have to do is find what explains the reason they don't survey the buyers.

What explains the paradox? Option (D) - they are unable to identify the buyers and hence they can't survey the buyers.

Option (A) tells you that the commercial success accrues mainly to the producers, not the buyers. This gives the producers a reason to create unwarranted hype about their product. So this just tells you that why manager's opinion may not be very relevant. It doesn't explain why researchers don't survey the buyers.
_________________

Karishma
Veritas Prep | GMAT Instructor
My Blog

Save $100 on Veritas Prep GMAT Courses And Admissions Consulting
Enroll now. Pay later. Take advantage of Veritas Prep's flexible payment plan options.

Veritas Prep Reviews

Verbal Forum Moderator
Verbal Forum Moderator
User avatar
Status: Flying over the cloud!
Joined: 16 Aug 2011
Posts: 817
Location: Viet Nam
Concentration: International Business, Marketing
Schools: Ross '17, Duke '16
GMAT Date: 06-06-2014
GPA: 3.07
Followers: 36

Kudos [?]: 200 [0], given: 41

GMAT ToolKit User Premium Member CAT Tests
Re: When trying to identify new technologies that promise to [#permalink] New post 10 Jul 2012, 00:54
D:The potential buyers for not-yet-available technologies can seldom be reliably identified.

What happen when the companies survey potential buyers if they cannot (or seldom) be reliably identified. The result from the survey will be un-representative, and not conclusive.
_________________

Rules for posting in verbal gmat forum, read it before posting anything in verbal forum
Giving me + 1 kudos if my post is valuable with you :)

The more you like my post, the more you share to other's need

CR: Focus of the Week: Must be True Question

Senior Manager
Senior Manager
avatar
Joined: 07 Sep 2010
Posts: 340
Followers: 3

Kudos [?]: 109 [0], given: 136

Re: When trying to identify new technologies that promise to [#permalink] New post 10 Jul 2012, 04:52
Hi Karishma,

Thanks for the response. I would like to discuss couple of follow up questions. Request you to provide your reasoning on them as well.

1. Veritas CR book says that you must select the answer choice that allows both parts of the stimulus to exist. Does this mean that even if an answer choice targets only one position of the paradox and the other position is logical outcome of the first position, then the answer choice will probably be correct.

Lets take an example of this question only.

Choice D) The potential buyers for not-yet-available technologies can seldom be reliably identified.

This answer choice is giving an explanation of buyers only and there is no relevant information of Managers. However, it does implicitly targets Managers as well i.e if we are not able to find the buyers, then the second best case is to approach Managers. I discarded this option, bcoz I thought it is not giving me a clear cut explanation about Managers.

2. I read that the best strategy to crack CR questions is to Pre -Think. I did analyzed the correct option before moving onto answer choices. However, I have a doubt on this approach. Many a times you do see your analysed answer choice in options and many a times you don't. And because of this on and off situation, when I see my analyzed answer choice in options, I become unsure of my answer. How to cope up with this situation.

Please suggest.

Thanks
H

VeritasPrepKarishma wrote:
Market surveyors try to find the new technology that will be a commercial success in the near future (perhaps to invest or whatever). They survey the managers that are developing new technologies (who tend to overstate the potential of their new technologies).
However, market researchers typically do not survey the potential buyers (even though it is the buyers who determine commercial success).

_________________

+1 Kudos me, Help me unlocking GMAT Club Tests

Senior Manager
Senior Manager
avatar
Joined: 15 Aug 2013
Posts: 253
Followers: 0

Kudos [?]: 10 [0], given: 22

Re: When trying to identify new technologies that promise to [#permalink] New post 16 May 2014, 14:40
imhimanshu wrote:
Hi Karishma,

Thanks for the response. I would like to discuss couple of follow up questions. Request you to provide your reasoning on them as well.

1. Veritas CR book says that you must select the answer choice that allows both parts of the stimulus to exist. Does this mean that even if an answer choice targets only one position of the paradox and the other position is logical outcome of the first position, then the answer choice will probably be correct.

Lets take an example of this question only.

Choice D) The potential buyers for not-yet-available technologies can seldom be reliably identified.

This answer choice is giving an explanation of buyers only and there is no relevant information of Managers. However, it does implicitly targets Managers as well i.e if we are not able to find the buyers, then the second best case is to approach Managers. I discarded this option, bcoz I thought it is not giving me a clear cut explanation about Managers.

2. I read that the best strategy to crack CR questions is to Pre -Think. I did analyzed the correct option before moving onto answer choices. However, I have a doubt on this approach. Many a times you do see your analysed answer choice in options and many a times you don't. And because of this on and off situation, when I see my analyzed answer choice in options, I become unsure of my answer. How to cope up with this situation.

Please suggest.

Thanks
H

VeritasPrepKarishma wrote:
Market surveyors try to find the new technology that will be a commercial success in the near future (perhaps to invest or whatever). They survey the managers that are developing new technologies (who tend to overstate the potential of their new technologies).
However, market researchers typically do not survey the potential buyers (even though it is the buyers who determine commercial success).



I would like to echo this point as well. The CR Reasoning Bible by Powerscore states that resolve the paradox questions should address both ends. The OG solution doesn't.

Can someone clarify why that's the case?
Re: When trying to identify new technologies that promise to   [#permalink] 16 May 2014, 14:40
    Similar topics Author Replies Last post
Similar
Topics:
The promise of finding long-term technological solutions to fanatico 4 26 Mar 2011, 17:28
When to try Negotiating Scholarships? Futuremba1 1 10 Feb 2011, 10:47
New Technology in Skeing Neochronic 2 26 Feb 2008, 05:05
New hardy varieties of rice show promise of producing high shygo 4 05 Sep 2004, 07:23
New hardy varieties of rice show promise of producing high srijay007 3 04 Sep 2004, 00:13
Display posts from previous: Sort by

When trying to identify new technologies that promise to

  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®.