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07 Sep 2024, 02:15
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Hi. Can anyone help me with this CR wuestion,plz?
A company that manufactures plastic products from recyclable plastic is, surprisingly, unconcerned that economic conditions may worsen, despite analysts’ belief that consumers would then consider ecofriendly plastic products an expensive luxury. But the company reasons that it will be able to lower its prices because, in a weakened economy, other ecofriendly plastic manufacturers are likely to fail. Demand among manufacturers for recyclable plastics as raw materials would then plummet, creating an oversupply of such materials, making them less expensive for the manufacturer to purchase and thus lowering the company’s costs.
Which of the following, if true, most weakens the company’s reasoning?
A. Smaller ecofriendly plastic manufacturers are more likely to fail in a weakened economy than larger ecofriendly manufacturers are.
B. Some retailers whose sales include various companies’ ecofriendly plastic products have struggled in recent years despite the overall good economy.
C. Consumers would likely soon learn of the oversupply of recyclable plastics and cease recycling them, significantly raising manufacturers’ raw-material costs.
D. Retailers, including retailers that cater to consumers seeking certain types of ecofriendly products, may lose some business if economic conditions worsen.
E. The plastics used by the company in its products were, after a recent investigation by a regulatory body, declared to be safe for consumers.
A company that manufactures plastic products from recyclable plastic is, surprisingly, unconcerned that economic conditions may worsen, despite analysts’ belief that consumers would then consider ecofriendly plastic products an expensive luxury. But the company reasons that it will be able to lower its prices because, in a weakened economy, other ecofriendly plastic manufacturers are likely to fail. Demand among manufacturers for recyclable plastics as raw materials would then plummet, creating an oversupply of such materials, making them less expensive for the manufacturer to purchase and thus lowering the company’s costs.
Which of the following, if true, most weakens the company’s reasoning?
A. Smaller ecofriendly plastic manufacturers are more likely to fail in a weakened economy than larger ecofriendly manufacturers are.
B. Some retailers whose sales include various companies’ ecofriendly plastic products have struggled in recent years despite the overall good economy.
C. Consumers would likely soon learn of the oversupply of recyclable plastics and cease recycling them, significantly raising manufacturers’ raw-material costs.
D. Retailers, including retailers that cater to consumers seeking certain types of ecofriendly products, may lose some business if economic conditions worsen.
E. The plastics used by the company in its products were, after a recent investigation by a regulatory body, declared to be safe for consumers.
07 Sep 2024, 02:19
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JuneJuneTOP
You should search the CR forum. This question is discussed in detail here:
https://gmatclub.com/forum/a-company-th ... 94352.html
Hope it helps.
07 Sep 2024, 02:23
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GC10
Yes, the OA is C. Discussed in detail here:
https://gmatclub.com/forum/a-company-th ... 94352.html
