GMAT Question of the Day - Daily to your Mailbox; hard ones only

It is currently 20 Mar 2019, 10:31

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.

Close

Request Expert Reply

Confirm Cancel

In order to decrease losses during a prolonged shutdown in sales, the

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  
Author Message
TAGS:

Hide Tags

 
Manager
Manager
User avatar
G
Joined: 25 Dec 2018
Posts: 130
Location: India
Concentration: General Management, Finance
GMAT 1: 590 Q48 V23
GPA: 3.4
WE: Engineering (Consulting)
In order to decrease losses during a prolonged shutdown in sales, the  [#permalink]

Show Tags

New post 25 Feb 2019, 09:41
1
00:00
A
B
C
D
E

Difficulty:

  5% (low)

Question Stats:

95% (01:37) correct 5% (01:30) wrong based on 57 sessions

HideShow timer Statistics

In order to decrease losses during a prolonged shutdown in sales, the sales representatives of insurances in the Cayman Islands have instituted record-setting price increases on all their plans. The representatives believe that this strategy will succeed, even though it is inconsistent with the normal relationship between price and demand.

The representatives’ plan to increase profits relies on which of the following assumptions?

A) Sales representatives will, out of necessity, raise prices whenever they introduce a new plan.
B) The smaller sales representatives will continue to take away a large percentage of business from the larger representatives.
C) The increased profit made on plans sold will more than compensate for any decline in sales caused by the price increases.
D) New background checks that will soon become mandatory for all new plans will not be very costly for representatives to implement.
E) Low financing and extended lifetime will attract many price-conscious customers.
Intern
Intern
avatar
B
Joined: 17 May 2018
Posts: 44
Re: In order to decrease losses during a prolonged shutdown in sales, the  [#permalink]

Show Tags

New post 26 Feb 2019, 01:43
1
Option C is correct, as the other points are not mentioned and since we know the step has been done after sales decline this is must be the underlying assumption

Posted from my mobile device
GMAT Club Bot
Re: In order to decrease losses during a prolonged shutdown in sales, the   [#permalink] 26 Feb 2019, 01:43
Display posts from previous: Sort by

In order to decrease losses during a prolonged shutdown in sales, the

  new topic post reply Question banks Downloads My Bookmarks Reviews Important topics  


Copyright

GMAT Club MBA Forum Home| About| Terms and Conditions and Privacy Policy| GMAT Club Rules| Contact| Sitemap

Powered by phpBB © phpBB Group | Emoji artwork provided by EmojiOne

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®.