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22 Oct 2018, 00:45
Kudos
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“Over time, the costs of processing go down because as organizations learn how to do things better, they become more efficient. In color film processing, for example, the cost of a 3-by-5-inch print fell from 50 cents for five-day service in 1970 to 20 cents for one-day service in 1984. The same principle applies to the processing of food. And since Olympic Foods will soon celebrate its 25th birthday, we can expect that our long experience will enable us to minimize costs and thus maximize profits.”
The author claims that since the cost of processing has gone down because the organizations have learnt to do things better and have become efficient, therefore the costs of Olympic food will also minimize and thus will maximize profits. The argument is supported by an example of color film processing, in which the cost of a 3-by-5-inch print fell from 50 cents for five-day service in 1970 to 20 cents for one-day service in 1984 and applied the same principle to the food processing industry. Stated in the way the argument reveals poor reasoning and compared two different industries which seems highly illogical.
First the argument claims that the principle applied to color film processing can be applied to food processing also. This is a weak and unsupported claim as the argument does not establish any correlation between the processing process in these two industries. It might be that improvement in the processing of color film has only happened and technology for processing of food has not yet improved as both have different inputs and different factors. If the argument had provided that the same technology is used in both color film processing and food processing then the argument would have been more convincing.
Secondly the conclusion assumes that Olympic Foods have learnt from their long experience, improved and thus became more efficient . This will help them to minimize costs and maximize profit. However, no such evidence is provided by the author. If the author has provided some examples related to the previous development of Olympic Foods and how it has progressed in the last 25 years, then the conclusion would have been more convincing.
Finally, the argument raises some questions. Question 1 about argument is whether there are no other factors that will have an impact on the profit of the company. Another question which the argument raises is if long experience in a particular field improves the way of doing things at low cost. Without convincing answers to these questions, one is left with the impression that the claim is more of a wishful thinking rather than a substantive evidence.
In conclusion, the argument is flawed for the above mentioned reasons and is therefore unconvincing. It could be strengthened if the author clearly mentioned all relevant facts related to the how the principle of processing of color film can be applied to film industry. If the author have given example of another food processing industry rather than color film processing , the claim would have been more convincing. In order to assess the claim , it is essential to have full knowledge of all the factor contributing to the maximizing the profit of Olympic Foods. Without this information, the argument is unsubstantiated and open to debate.
The author claims that since the cost of processing has gone down because the organizations have learnt to do things better and have become efficient, therefore the costs of Olympic food will also minimize and thus will maximize profits. The argument is supported by an example of color film processing, in which the cost of a 3-by-5-inch print fell from 50 cents for five-day service in 1970 to 20 cents for one-day service in 1984 and applied the same principle to the food processing industry. Stated in the way the argument reveals poor reasoning and compared two different industries which seems highly illogical.
First the argument claims that the principle applied to color film processing can be applied to food processing also. This is a weak and unsupported claim as the argument does not establish any correlation between the processing process in these two industries. It might be that improvement in the processing of color film has only happened and technology for processing of food has not yet improved as both have different inputs and different factors. If the argument had provided that the same technology is used in both color film processing and food processing then the argument would have been more convincing.
Secondly the conclusion assumes that Olympic Foods have learnt from their long experience, improved and thus became more efficient . This will help them to minimize costs and maximize profit. However, no such evidence is provided by the author. If the author has provided some examples related to the previous development of Olympic Foods and how it has progressed in the last 25 years, then the conclusion would have been more convincing.
Finally, the argument raises some questions. Question 1 about argument is whether there are no other factors that will have an impact on the profit of the company. Another question which the argument raises is if long experience in a particular field improves the way of doing things at low cost. Without convincing answers to these questions, one is left with the impression that the claim is more of a wishful thinking rather than a substantive evidence.
In conclusion, the argument is flawed for the above mentioned reasons and is therefore unconvincing. It could be strengthened if the author clearly mentioned all relevant facts related to the how the principle of processing of color film can be applied to film industry. If the author have given example of another food processing industry rather than color film processing , the claim would have been more convincing. In order to assess the claim , it is essential to have full knowledge of all the factor contributing to the maximizing the profit of Olympic Foods. Without this information, the argument is unsubstantiated and open to debate.
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