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08 Jul 2013, 13:51
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A
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
5%
(low)
Question Stats:
85% (01:12) correct
15%
(01:33)
wrong
based on 468
sessions
History
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Time
Result
Not Attempted Yet
A certain mobile smartphone manufacturer aims to increase its market share by deeply discounting its smartphone prices for the next several months. The discounts will cut into profits, but because they will be heavily advertised the manufacturer hopes that they will attract buyers away from rival manufacturers' smartphones. In the longer term, the smartphone manufacturer envisions that customers initially attracted by the discounts may become loyal customers.
In assessing the plan's chances of achieving its aim, it would be most useful to know which of the following?
(A) Whether the smartphone's competitors are likely to respond by offering deep discounts on their own products
(B) Whether the advertisements will be created by the manufacturer's current advertising agency
(C) Whether some of the smartphone manufacturers' models will be more deeply discounted than others
(D) Whether the smartphone manufacturer will be able to cut costs sufficiently to maintain profit margins even when the discounts are in effect
(E) Whether an alternative strategy might enable the smartphone manufacturer to enhance its profitability while holding a constant or diminishing share of the market
Sourced from GMAT Pill Platform CR Question
In assessing the plan's chances of achieving its aim, it would be most useful to know which of the following?
(A) Whether the smartphone's competitors are likely to respond by offering deep discounts on their own products
(B) Whether the advertisements will be created by the manufacturer's current advertising agency
(C) Whether some of the smartphone manufacturers' models will be more deeply discounted than others
(D) Whether the smartphone manufacturer will be able to cut costs sufficiently to maintain profit margins even when the discounts are in effect
(E) Whether an alternative strategy might enable the smartphone manufacturer to enhance its profitability while holding a constant or diminishing share of the market
Sourced from GMAT Pill Platform CR Question
lololol650
Joined: 09 Dec 2012
Last visit: 11 Nov 2018
Posts: 26
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Given Kudos: 1
Status:Studying
Location: Russian Federation
Concentration: Finance, Strategy
Schools: Wharton '16 Booth '16 HBS '16 Stern '16 Stanford '16
GMAT Date: 04-06-2013
GPA: 3.6
WE:Consulting (Insurance)
08 Jul 2013, 14:39
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This seems like a weaken the argument type...
Am I wrong?
So when choosing the answer (A) we need to ruin the ideal plan of the company and find the argument that most strongly achieves that goal. Please let me know if my thinking is correct.
B) Has nothing to do with the passage
C) Would is basically useless
D) We know the manufacturer is trying to achieve its plans despite the possible drop in profits, so no
E) Speaks of higher profits, but we are interested in loyal customers, so no, this is not helpful
Am I wrong?
So when choosing the answer (A) we need to ruin the ideal plan of the company and find the argument that most strongly achieves that goal. Please let me know if my thinking is correct.
B) Has nothing to do with the passage
C) Would is basically useless
D) We know the manufacturer is trying to achieve its plans despite the possible drop in profits, so no
E) Speaks of higher profits, but we are interested in loyal customers, so no, this is not helpful
plumber250
Joined: 07 Nov 2012
Last visit: 21 Dec 2015
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Given Kudos: 4
Schools: LBS '14 (A$)
GMAT 1: 770 Q48 V48
09 Jul 2013, 02:45
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Hi - No you're not quite right.
Here in this question you're looking for ADDITIONAL INFO.
The paragraph sets out a position, but leaves certain things un answered (as you read the paragraph you should be able to spot possible issues with the argument...)
Then you need to find the answer that answers that doubt.
It doesn't need to 'weaken' it could equally 'strengthen'
James
Here in this question you're looking for ADDITIONAL INFO.
The paragraph sets out a position, but leaves certain things un answered (as you read the paragraph you should be able to spot possible issues with the argument...)
Then you need to find the answer that answers that doubt.
It doesn't need to 'weaken' it could equally 'strengthen'
James
