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CaffeinatedCoder
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CaffeinatedCoder
A local restaurant in a small town recently implemented a new marketing strategy to attract more customers. The restaurant started offering a complimentary dessert to any customer who dines in during lunch hours on weekdays. The owner of the restaurant believes that this strategy will increase customer loyalty and, ultimately, improve the restaurant's overall profitability.

Which of the following, if true, most supports the owner's belief that the new marketing strategy will be successful?

A. The restaurant's lunch hour has seen a decrease in customer traffic in recent months.
B. The cost of the complimentary dessert is significantly lower than the average cost of a full meal at the restaurant.
C. Other restaurants in the area have recently implemented similar marketing strategies and have experienced increased customer loyalty.
D. The restaurant's lunch menu offers a variety of options to cater to different dietary preferences and restrictions.
E. Previous customer feedback surveys indicate that customers are more likely to return to the restaurant if they feel they have received good value for their money.


Argument:
Complimentary dessert --> Increased customer loyalty --> Profitability

Option C can be eliminated right away for being irrelevant. What other restaurants have done have very little implications over this particular restaurant.
Similarly for the same reason, eliminate option D

Please note that we are searching for the best possible answer and C,D arent.

Option B might seem tempting. But cost comparison of the meal, dessert has no linear relation with profitability (There might be some other factors as well)

Similarly option A too might seem tempting. But the argument here revolves around customer loyalty and achieving profitability via customer loyalty. The traffic at lunch hour doesn't seem to have any relation with these.

Option E is the best one. As the customer feedback shared can be linked directly with the introduction of dessert which may result into customer being satisfied and loyal.

PS - The above explanation might seem long but I tried to reasonify each and every option. One can directly come to option E just by reading and understanding the argument


so my problem with option E was - "customers are more likely to return to the restaurant if they feel they have received good value for their money." as the desserts was complementary , there shouldn't be a problem of money's worth.. not a very solid reason but thats what i thought initially

One can easily link getting a complimentary dessert to money's worth...
Like say Initially u dine for $100 and u pay $100 for it.
Now that u getting a complimentary dessert, u are actually paying the same $100 but getting say $110 worth of dining
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Premise: The restaurant started offering a complimentary dessert to any customer who dines in during lunch hours on weekdays

Conclusion: Above strategy will increase customer loyalty and, ultimately, improve the restaurant's overall profitability

Explanations:

A. Weakening the argument by providing evidence against the belief.

B. Weaken. Even if the cost of the complimentary dessert is lower, it still adds to the amount. For example, a lunch item of $4000, with additional complementary of $100, adds expense of $100 and cause a dent to profitability. Even if there is a surge in customer, the possiblity of lower profitability still remains. Hence this choice is incorrect.

C. Other restaurants in the area have recently implemented similar marketing strategies and have experienced increased customer loyalty.
Weaken. If other restaurants have also implemented similar strategies , they can retain their loyal customers and it also increases the competition, thus challenge to conclusion.
D. The restaurant's lunch menu offers a variety of options to cater to different dietary preferences and restrictions.
Irrelevant. This doesn't add support to the strategy of having additional lunch item in the menu for profitability
E. This talks about the customer's feedback and their consideration of value for money to go back to the same restaurant.
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The issue with option E is, according to me, that this option assumes getting a free dessert=value for money. What if the other dishes are absurdly priced. So giving a free dessert might not really translate to value for money. Somebody please counter this.
CaffeinatedCoder
A local restaurant in a small town recently implemented a new marketing strategy to attract more customers. The restaurant started offering a complimentary dessert to any customer who dines in during lunch hours on weekdays. The owner of the restaurant believes that this strategy will increase customer loyalty and, ultimately, improve the restaurant's overall profitability.

Which of the following, if true, most supports the owner's belief that the new marketing strategy will be successful?

A. The restaurant's lunch hour has seen a decrease in customer traffic in recent months.
B. The cost of the complimentary dessert is significantly lower than the average cost of a full meal at the restaurant.
C. Other restaurants in the area have recently implemented similar marketing strategies and have experienced increased customer loyalty.
D. The restaurant's lunch menu offers a variety of options to cater to different dietary preferences and restrictions.
E. Previous customer feedback surveys indicate that customers are more likely to return to the restaurant if they feel they have received good value for their money.
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scream7
The issue with option E is, according to me, that this option assumes getting a free dessert=value for money. What if the other dishes are absurdly priced. So giving a free dessert might not really translate to value for money. Somebody please counter this.
CaffeinatedCoder
A local restaurant in a small town recently implemented a new marketing strategy to attract more customers. The restaurant started offering a complimentary dessert to any customer who dines in during lunch hours on weekdays. The owner of the restaurant believes that this strategy will increase customer loyalty and, ultimately, improve the restaurant's overall profitability.

Which of the following, if true, most supports the owner's belief that the new marketing strategy will be successful?

A. The restaurant's lunch hour has seen a decrease in customer traffic in recent months.
B. The cost of the complimentary dessert is significantly lower than the average cost of a full meal at the restaurant.
C. Other restaurants in the area have recently implemented similar marketing strategies and have experienced increased customer loyalty.
D. The restaurant's lunch menu offers a variety of options to cater to different dietary preferences and restrictions.
E. Previous customer feedback surveys indicate that customers are more likely to return to the restaurant if they feel they have received good value for their money.
I can see where this question is coming from, I used to think like this when I approach CR Questions.

To put it simple, your statement above, is an assumption made out of scope of what the passage has given. The passage never says about whether its sales / profitability is dropping, rather, it's just saying that they wanted to increase their loyalty and profitability.

therefore, in option E, we need to assume that any freebies / bonus we gave to customers, it will increase the value for money (since the assumption is, I used to spend $10 for lunch, now I have lunch + dessert for $10)

hope this explains
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Since the option had the word "similar" in it, "Similar" does not mean same therefore i concluded that since other restaurants used similar but not same startegies, that difference could be the reason for both these scenarios to go the opposite way, therefore i thought it would weaken the argument, i agree with the point you are making, but could this way of thinking also be correct, please correct me if i am wrong.
kumarvibhuti630
Premise: The restaurant started offering a complimentary dessert to any customer who dines in during lunch hours on weekdays

Conclusion: Above strategy will increase customer loyalty and, ultimately, improve the restaurant's overall profitability

Explanations:

A. Weakening the argument by providing evidence against the belief.

B. Weaken. Even if the cost of the complimentary dessert is lower, it still adds to the amount. For example, a lunch item of $4000, with additional complementary of $100, adds expense of $100 and cause a dent to profitability. Even if there is a surge in customer, the possiblity of lower profitability still remains. Hence this choice is incorrect.

C. Other restaurants in the area have recently implemented similar marketing strategies and have experienced increased customer loyalty.
Weaken. If other restaurants have also implemented similar strategies , they can retain their loyal customers and it also increases the competition, thus challenge to conclusion.
D. The restaurant's lunch menu offers a variety of options to cater to different dietary preferences and restrictions.
Irrelevant. This doesn't add support to the strategy of having additional lunch item in the menu for profitability
E. This talks about the customer's feedback and their consideration of value for money to go back to the same restaurant.
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