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avohden
Joined: 09 Jul 2013
Last visit: 14 Mar 2015
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GMAT 1: 570 Q42 V28
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WE:Accounting (Accounting)
A
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
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75% (01:40) correct
25%
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wrong
based on 510
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An electronics company plans to lure first-time buyers this holiday season. One aspect of its marketing strategy will be to make widely available percent-off coupons for its products that customers can use at any retailer.
Which of the following, if true, would point to a possible flaw in the company's plan?
(A) The coupons would make it less likely that retailers prominently stock the company's offerings in places likely to attract first-time buyers.
(B) The company is supporting the coupon distribution effort with a nationwide television advertising campaign.
(C) The company's competitors are not expected to offer coupons of any kind this holiday season.
(D) Most retailers are accustomed to accepting percent-off coupons from manufacturers and train their employees accordingly.
(E) Research has shown that first-time buyers of electronics products often choose which brand to purchase based on price.
GH-05.14.13 - OE to follow
Which of the following, if true, would point to a possible flaw in the company's plan?
(A) The coupons would make it less likely that retailers prominently stock the company's offerings in places likely to attract first-time buyers.
(B) The company is supporting the coupon distribution effort with a nationwide television advertising campaign.
(C) The company's competitors are not expected to offer coupons of any kind this holiday season.
(D) Most retailers are accustomed to accepting percent-off coupons from manufacturers and train their employees accordingly.
(E) Research has shown that first-time buyers of electronics products often choose which brand to purchase based on price.
GH-05.14.13 - OE to follow
14 Oct 2013, 08:48
Kudos
Bookmarks
The argument says electronic company wants to lure first time buyers.
Marketing strategy- Widely available percent off coupons, customers can use at any retailers. Just like saying discount coupons in sophisticated language.
We have to indicate a flaw in the strategy. Something along the lines of loss in revenue because of the coupons. (The first idea that came to my mind after reading the argument)
(A) The coupons would make it less likely that retailers prominently stock the
company's offerings in places likely to attract first-time buyers. CORRECT because retailers are not inclined to stock the products in places where there is going to be a greater first time buyers.
(B) The company is supporting the coupon distribution effort with a nationwide
television advertising campaign.---- Out of scope. The method of advertising does not matter.
(C) The company's competitors are not expected to offer coupons of any kind
this holiday season. Out of Scope. The competitors are not mentioned anywhere in the argument. What the competitors do does not indicate the flaw in the argument.
(D) Most retailers are accustomed to accepting percent-off coupons from
manufacturers and train their employees accordingly. Out of scope. Information about how the retailers accept the coupons and train the employees is irrelevant.
(E) Research has shown that first-time buyers of electronics products often choose
which brand to purchase based on price. ---- This also does not indicate anything. First time buyers choose the products based on price does not indicate the gap in the reasoning.
Marketing strategy- Widely available percent off coupons, customers can use at any retailers. Just like saying discount coupons in sophisticated language.
We have to indicate a flaw in the strategy. Something along the lines of loss in revenue because of the coupons. (The first idea that came to my mind after reading the argument)
(A) The coupons would make it less likely that retailers prominently stock the
company's offerings in places likely to attract first-time buyers. CORRECT because retailers are not inclined to stock the products in places where there is going to be a greater first time buyers.
(B) The company is supporting the coupon distribution effort with a nationwide
television advertising campaign.---- Out of scope. The method of advertising does not matter.
(C) The company's competitors are not expected to offer coupons of any kind
this holiday season. Out of Scope. The competitors are not mentioned anywhere in the argument. What the competitors do does not indicate the flaw in the argument.
(D) Most retailers are accustomed to accepting percent-off coupons from
manufacturers and train their employees accordingly. Out of scope. Information about how the retailers accept the coupons and train the employees is irrelevant.
(E) Research has shown that first-time buyers of electronics products often choose
which brand to purchase based on price. ---- This also does not indicate anything. First time buyers choose the products based on price does not indicate the gap in the reasoning.
avohden
Joined: 09 Jul 2013
Last visit: 14 Mar 2015
Posts: 405
Given Kudos: 630
Status:1,750 Q's attempted and counting
Affiliations: University of Florida
Location: United States (FL)
Schools: Warrington (A)
GMAT 1: 570 Q42 V28
GMAT 2: 610 Q44 V30
GMAT 3: 600 Q45 V29
GMAT 4: 590 Q35 V35
GPA: 3.45
WE:Accounting (Accounting)
22 Oct 2013, 11:36
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Bookmarks
Official Explanation
Answer: A This a flaw question--similar to a weaken question. The plan is to attract first-time customers with coupons they can use at any retailer. Consider each choice: (A) This is correct. If the coupons lead retailers to make choices that make it less likely first-time customers will buy the company's products, the coupons will have been counter-productive and the plan will have failed. (B) This choice suggests a way in which the company will make the plan more likely to succeed. (C) Like (B), this is another bit of evidence that suggests the company's plan is likely to succeed. (D) This choice addresses a possible problem, but claims that employees will be trained to handle coupons like the ones on which the company's plan hinge. (E) This supports the plan's likelihood of success. If first-time buyers are influenced by price, a coupon would make them more likely to choose the company's products.
Hope this helps.
Answer: A This a flaw question--similar to a weaken question. The plan is to attract first-time customers with coupons they can use at any retailer. Consider each choice: (A) This is correct. If the coupons lead retailers to make choices that make it less likely first-time customers will buy the company's products, the coupons will have been counter-productive and the plan will have failed. (B) This choice suggests a way in which the company will make the plan more likely to succeed. (C) Like (B), this is another bit of evidence that suggests the company's plan is likely to succeed. (D) This choice addresses a possible problem, but claims that employees will be trained to handle coupons like the ones on which the company's plan hinge. (E) This supports the plan's likelihood of success. If first-time buyers are influenced by price, a coupon would make them more likely to choose the company's products.
Hope this helps.
