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Which of the following best completes the passage below? [#permalink]
26 Oct 2006, 19:35
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Which of the following best completes the passage below?
Established companies concentrate on defending what they already have. Consequently, they tend not to be innovative themselves and tend to underestimate the effects of the innovations of others. The clearest example of this defensive strategy is the fact that______
(A) ballpoint pens and soft-tip markers have eliminated the traditional market for fountain pens, clearing the way for the marketing of fountain pens as luxury or prestige items
(B) a highly successful automobile was introduced by the same company that had earlier introduced a model that had been a dismal failure
(C) a once-successful manufacturer of slide rules reacted to the introduction of electronic calculators by trying to make better slide rules
(D) one of the first models of modern accounting machines, designed for use in the banking industry, was purchased by a public library as well as by banks
(E) the inventor of a commonly used anesthetic did not intend the product to be used by dentists, who currently account for almost the entire market for that drug
I think the ANS should be A.....but OA is C
Slide rule manufacturer does not care for the external innovations or technology progress such as electronic calculators and reacted to the market by manufacturing better slide rules without expanding its innovations.
BET ON (B)
This concludes that the "highly successful automobile" did not be innovative until it was forced to by its failure.It must not have been innovative until its product was working fine.But the moment the model failed, it innovated and hence succeeded.