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# Analyst: The pace of technological development brings a

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Analyst: The pace of technological development brings a [#permalink]

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22 Sep 2012, 10:58
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Difficulty:

45% (medium)

Question Stats:

63% (02:33) correct 37% (01:36) wrong based on 54 sessions

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Analyst: The pace of technological development brings a constant stream of new devices to the market, and many of them enjoy commercial success. But announcing new technology too soon after the introduction of a successful device can backfire. Once consumers hear about the new device, they may stop buying the one currently on sale. So, if a company wishes to announce the upcoming sale of a new device, it should wait until purchases of the old device have begun to decline.

Which of the following, if true, would best support the analyst's main assertion?

New technology often becomes less expensive after an initial surge in sales.
Media outlets, such as television programs and magazines, often report on the planned introduction of new devices while the sales of old devices are still strong.
Many consumers are unable to determine whether new technology is superior to current technology.
Surveys have shown that some consumers make only one or two technology purchases per year, whereas others make more frequent purchases.
Consumers tend to be loyal to technology companies whose products they enjoy using.
[Reveal] Spoiler: OA
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24 Sep 2012, 08:15
A – not relevant. Eliminate
B – If the media report the new device then sales will decline. Therefore the company should wait until this point to announce the sale of a new device, rather than beating the media to the punch and reducing their own sales rate.
C - not relevant. Eliminate
D – Not relevant. Eliminate
E – Not relevant. Eliminate
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24 Sep 2012, 09:09
Archit143 wrote:
Analyst: The pace of technological development brings a constant stream of new devices to the market, and many of them enjoy commercial success. But announcing new technology too soon after the introduction of a successful device can backfire. Once consumers hear about the new device, they may stop buying the one currently on sale. So, if a company wishes to announce the upcoming sale of a new device, it should wait until purchases of the old device have begun to decline.

Which of the following, if true, would best support the analyst's main assertion?

The way I solved it -

The question is asking for supporting the analyst's main assertion>
What is that - It is - that "Once consumers hear about the new device, they may stop buying the one currently on sale"

So the correct answer choice should somehow support that how would customers come to know about a new technology.

AC
[Reveal] Spoiler:
B
bridges that gap by supporting the author's main point.
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24 Sep 2012, 10:36
Choice B is the correct one. Because the power and the speed of media, consumers can know the new product before it be published. So, they (consumers) will wait for the new product instead of buying the current products.
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Re: Strengthen type   [#permalink] 24 Sep 2012, 10:36
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