Bunuel
PulsePoint Gym recently upgraded the equipment in the basic-members area so that it now matches many of the features previously available only in the elite zone. This makes the basic membership far more attractive and risks reducing upgrades to elite memberships. To prevent that, PulsePoint plans to restrict basic members from using the new equipment during the most convenient time slots, even though the facility has enough capacity to allow it.
Which of the following is an assumption on which the plan depends?
(A) Elite memberships are currently too expensive for most basic members.
(B) Most basic members prefer to work out during inconvenient time slots anyway.
(C) Basic members will not respond to the restrictions by switching to another gym.
(D) Restricting access during convenient time slots will give basic members enough reason to upgrade.
(E) Other gyms in the area do not offer comparable equipment.
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Pulse point gym has two modes of subscription, one is basic area subscription and the other being Elite area subscription. The gym plans to upgrade the basic area subscription to Elite zone. This enables the basic area zone to look fresh and equipped with new equipments. This makes the basic area zone more attractive for new customers.
By upgrading the basic area zone to elite area, we risk the transition from basic to elite. So, this arrangement seems to be one sided, as Basic zone area upgraded to match the features of elite zone. And, the elite zone remains the same.
Two concern areas are here :
1) Elite zone customers feel let down as they might have paid an extra fee to get the access pertaining to elite zone. They might even think of downgrading their membership status.
2) The Pulse point gym is on the verge of losing money, that would have been their profits if the transition has happened. But, now with the downgrading option open for elite members, the pulse point gym has to come up with a plan to keep things moving.
How is the pulse point gym going to satisfy these concerns? They come up with a plan to restrict access of basic members during the MOST CONVENIENT TIME SLOTS , so they cannot use the new equipments during those slots.
The reason behind the restriction is not capacity constraints. But, to show that elite members receive a preferential treatment compared to basic members.
The pulse point gym uses this plan to make a statement that : Elite members receive a convenience for that membership, Secondly, this acts as a catalyst to push members to switch from basic to elite membership. Thirdly, this might hurt the feelings of basic membership, and they might take a decision either to switch or upgrade , provided they want to use equipments during convenient times.
What’s the underlying assumption on which the plan depends?
A) Elite memberships are currently too expensive for most basic members.
We don’t know the price points or the economic status of basic members. Even we are not aware of the subscription plans between the two. Hence, this is not a valid assumption. If the option is true, it justifies why the gym has two modes of subscription. May be the timings or extra attention by a trainer would have been a feature that’s lacking with basic membership.
B) Most basic members prefer to workout during inconvenient time slots.
If most basic members prefer to work during the alternative - inconvenient time slots. Then, there lies no bone of contention or Dissatisfaction among the two membership groups. Hence, not a valid assumption.
C) Basic members will not respond to the restrictions by switching to other gyms. If the basic resented members did not make the switch from pulse point to another gym is the underlying assumption of the plan. Either they upgrade or choose the inconvenient time zone. This is the correct answer.
Let’s apply the
NEGATION TEST: Basic members respond to the restriction by switching to an alternative gym, then the plan fails miserably. Eventually losing profits and expenses incurred on upgrading the gym remains unreaped. This negation makes the conclusion to fail. Hence, correct answer.
D) Restriction access during convenient time slots will give basic members enough reason to upgrade.
Yeah, this is one of the intended plan outcomes. Hence, it’s not an assumption. Moreover, an assumption is something which fills the logical gap, connects the dots, one which is not mentioned in the question, but provides additional information to make the jigsaw puzzle come to completion. Hence, wrong.
E) Other gyms in the area do not offer comparable equipment.
This is not an assumption. If other gyms offer comparable equipment, then with or without the plan being put to work, will lead to business opportunities if the pricing and early bird plan proposals are enticing and capable to attract more customers. Hence, wrong. Since, they don’t offer comparable equipments, the pulse point gym has an edge to retain customers.
Option C