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# Proponents of a major retailer s construction plan conclude

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Manager
Joined: 02 Sep 2012
Posts: 203
Location: United States
Concentration: Entrepreneurship, Finance
GMAT Date: 07-25-2013
GPA: 3.83
WE: Architecture (Computer Hardware)
Proponents of a major retailer s construction plan conclude  [#permalink]

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Updated on: 07 May 2013, 12:02
2
00:00

Difficulty:

25% (medium)

Question Stats:

80% (01:59) correct 20% (01:58) wrong based on 182 sessions

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Proponents of a major retailer’s construction plan conclude that it will bring a net benefit to small businesses. They claim that because the government-subsidized construction will have “trickle down” effects for small businesses, small businesses will gain overall.
Each of the following, if true, raises a concern in opposition to the conclusion above, EXCEPT:

a)Building efficient marketing campaigns is top priority for small business and would be abandoned by the big business, which does not care about efficiency.
b)Employees needed by small business would prefer to work for the major retailer.
c)Small businesses will win subcontracts to provide materials and products needed during construction of the retail store.
d)If government subsidies are given to the large retailer, there will be less money available for small business development.
e)Increased government debt needed to subsidize the plan will depress the local economy.

Originally posted by skamal7 on 05 May 2013, 08:31.
Last edited by Zarrolou on 07 May 2013, 12:02, edited 1 time in total.
Intern
Joined: 14 Apr 2013
Posts: 42
GMAT 1: 740 Q50 V40
Re: Proponents of a major retailer’s construction plan conclude  [#permalink]

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05 May 2013, 08:51
Argument: Proponents of a major retailer’s construction plan conclude that it will bring a net benefit to small businesses.
We have to identify the option which will give strength to above conclusion. All other answer will oppose the conclusion.

a)Building efficient marketing campaigns is top priority for small business and would be abandoned by the big business, which does not care about efficiency.
Incorrect: As this opposes the conclusion that small business will benefit.
b)Employees needed by small business would prefer to work for the major retailer.
Incorrect: As this opposes the conclusion that small business will benefit.
c) Small businesses will win subcontracts to provide materials and products needed during construction of the retail store.
Correct: This supports the conclusion that small business will benefit.

d)If government subsidies are given to the large retailer, there will be less money available for small business development.
Incorrect: As this opposes the conclusion that small business will benefit.
e)Increased government debt needed to subsidize the plan will depress the local economy.
Incorrect: As this opposes the conclusion that small business will benefit.
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Joined: 19 Aug 2012
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Re: Proponents of a major retailer’s construction plan conclude  [#permalink]

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05 May 2013, 11:04
C must be the correct answer.
the only option which does not raise concern in opposition to the conclusion
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Re: Proponents of a major retailer’s construction plan conclude  [#permalink]

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05 May 2013, 11:58
Conclusion:Proponents of a major retailer’s construction plan conclude that it will bring a net benefit to small businesses.

Premise: They claim that because the government-subsidized construction will have “trickle down” effects for small businesses, small businesses will gain overall

Even before looking at the options, Pre-think. According to the conclusion, the retailer's construction plan(RCP) will bring a net benefit to small businesses(SB). That means there should be some profit for the SBs from RCP. Now scan through the options. Option C sounds like exactly what we thought.
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Joined: 22 Dec 2012
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Re: Proponents of a major retailer’s construction plan conclude  [#permalink]

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05 May 2013, 18:44
I guess only C talks about the trickle down effects and thus validates the argument. None of the other choices justify the argument IMO.
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Joined: 23 Apr 2013
Posts: 21
Re: Proponents of a major retailer’s construction plan conclude  [#permalink]

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07 May 2013, 02:48
skamal7 wrote:
Proponents of a major retailer’s construction plan conclude that it will bring a net benefit to small businesses. They claim that because the government-subsidized construction will have “trickle down” effects for small businesses, small businesses will gain overall.
Each of the following, if true, raises a concern in opposition to the conclusion above, EXCEPT:

a)Building efficient marketing campaigns is top priority for small business and would be abandoned by the big business, which does not care about efficiency.
b)Employees needed by small business would prefer to work for the major retailer.
c)Small businesses will win subcontracts to provide materials and products needed during construction of the retail store.
d)If government subsidies are given to the large retailer, there will be less money available for small business development.
e)Increased government debt needed to subsidize the plan will depress the local economy.

Given Argument: Small businesses will gain because of a major retailer's construction plan

Option A: Building efficient marketing campaigns is top priority for small business and would be abandoned by the big business, which does not care about efficiency.
Incorrect - According to this small businesses are not benefited. Hence it is weakening the argument by opposing it.

Option B: Employees needed by small business would prefer to work for the major retailer.
Incorrect - It is detrimental to small businesses if employees leave them. Hence it is opposing the argument.

Option C: Small businesses will win subcontracts to provide materials and products needed during construction of the retail store.
Correct - Small businesses are benefited due to subcontracts. It is supporting the argument.

Option D: If government subsidies are given to the large retailer, there will be less money available for small business development.
Incorrect - Less money available to small businesses is in no way beneficial to them. Hence it is opposing the argument.

Option E: Increased government debt needed to subsidize the plan will depress the local economy.
Incorrect - Downward trend/Depression in the local economy doesn't benefit any small business. Hence it is opposing the argument.

So the only correct option is C
Re: Proponents of a major retailer’s construction plan conclude &nbs [#permalink] 07 May 2013, 02:48
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