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# A discount retailer...

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Manager
Joined: 13 Aug 2009
Posts: 148
WE 1: 4 years in IT

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28 Feb 2010, 10:28
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Question Stats:

40% (02:33) correct 60% (01:53) wrong based on 6 sessions

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Manager
Joined: 03 Feb 2010
Posts: 67

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28 Feb 2010, 13:55
Ans : B.

in paradox question,choose the option to make sure both the parts of the argument are true.

here,we need to focus on increased profit even though the operating cost is considerably increased because of increased min wage. what if most of the customer of this retailer shop are those who earn min wages or depend on those who earn min wage.then after increasing the min wage,their buying power will in crease considerably,and thus the retailer shop will have higher rev and thus higher profit.this is wat option B states.

rest of the option are focussing only on the first part : increased min wages,which can not solve the paradox.
Manager
Status: Applying
Joined: 19 Jul 2009
Posts: 152
Location: United Kingdom
Concentration: General Management, Strategy
GPA: 3.65
WE: Consulting (Telecommunications)

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03 Mar 2010, 00:55
Its B since the income of CUstomer's or the clients of the retailers has gone up thus allowing the retailer to make more profit. ...
Re: A discount retailer...   [#permalink] 03 Mar 2010, 00:55
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