An inadequately diversified product line rather than the : GMAT Critical Reasoning (CR)
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# An inadequately diversified product line rather than the

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13 Oct 2005, 23:40
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An inadequately diversified product line rather than the poor economy is responsible for the drop in sales of Company A's products over the past 3 years. The product line of Company B, Company A's largest competitor, has sold at the same rate for the past decade.

The conclusion above depends on which of the following assumptions?

(A) Company A is significantly smaller than Company B.
(B) Company A did not suffer a very damaging public scandal 3 years ago.
(C) Company B is the only one of Company A's competitors that has experienced no decline in product sales during the recent economic downturn.
(D) Several of Company A's competitors have gone out of business.
(E) Company A is not the only one in its industry experiencing decreased sales.
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13 Oct 2005, 23:48
Found it tough...could it be B...though I am not convinced...
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14 Oct 2005, 00:01
I think it is C
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14 Oct 2005, 06:10
Split between B and E using POE....I'll go with B
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14 Oct 2005, 08:12
B too

In C, if other competitors of Company A also experienced declines in sales, then it must be the economy that is slowing them down.
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15 Oct 2005, 06:33
Its B.

GA
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15 Oct 2005, 12:54
Ans: E (OA pls)
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15 Oct 2005, 14:31
I will go with E.

E alone seems to acknowledge the fact that the economy isn't doing too well.
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16 Oct 2005, 23:59
PON, I vote for (B).
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17 Oct 2005, 00:07
Premise:
1) Sales dropped in Company A's product over the past 3 yrs
2) Product line of Company B sold at the same rate as Company A for the past 10 yrs

Conclusion:
3) An inadequately diversified product line rather than the poor economy is responsible for the drop in sales

I'll take C. Choice (C) says Company B is not affected and its sales did not drop the past 3 yrs. It still continued to sell at the saem rate as Company A has been selling for the past 10 yrs. This suggest economy is not the reason that caused Company A to have poor sales, but the range of product line.

Not too convicing, but I think it's the best of the 5 choices.
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17 Oct 2005, 01:11
I'd pick A.
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17 Oct 2005, 01:52
One more for B.

Because B eliminate the alternative explanation for the drop in sale of A company.

OA Plz
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17 Oct 2005, 02:10
I think no answer is correct. The assumption made here is that Company B has a diverse product range.
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17 Oct 2005, 11:46
C?
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17 Oct 2005, 12:28
I will go with B.

I think C is exactly opposite of the argument. Others are out weakening the argument.
B has to be the only assumption, because this is a causal argument, there can be other reasons besides inadequate product line that, except for bad economy, needs to be assumed nonexistent. Only B does it.
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21 Oct 2005, 09:12
i go for B....pls post the OA
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21 Oct 2005, 09:19
Sorry for spacing out on the OA gang!

OE:

Assumption Question

Read the Argument and Extract Necessary Information:
The argument states draws a comparision between two companies to make its claims, which indicates one of the typical argument types the Comparisonl argument.

The assumption in comparison arguments is that the things compared are similar in all ways (except the ways mentioned). This argument assumes there are no other difference between Company A and Company B.

The argument also indicates the cause for the declining sales, which points to another common argument type, the causal argument, which assumes there is no other possible cause for the indiciated effect (declining sales).

Formulate an Answer to the Question
The assumptions are the answer so no need.

(A) Weakens. An argument will never assume something that will weaken that argument. This statement points out a difference between the two companies thus weakening the comparison made.

(B) Keep. This choice indicates that the author assumes there is no other possible reason (the scandal) for the declining sales).

(C) Not Assumed. The argument makes no mention of nor brings up other competitors.

(D) Not Assumed. The argument makes no mention of nor brings up other competitors.

(E) Not assumed/weakens. The argument does not make assumptions about what is occuring at companies other than A or B. Additional, if the author does assume that A is not the only company experiencing decreased sales that may weaken the argument by possibly pointing to a poor economy causing declines for the entire industry.

Choose B.
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21 Oct 2005, 14:46
good explanation.
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21 Oct 2005, 14:46
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