Events & Promotions
|
|
GMAT Club Daily Prep
Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.
Customized
for You
Track
Your Progress
Practice
Pays
Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.
Apr 2610:00 AM EDT
-11:00 AM EDT
The Target Test Prep course represents a quantum leap forward in GMAT preparation, a radical reinterpretation of the way that students should study. Try before you buy with a 5-day, full-access trial of the course for FREE!
Apr 2711:00 AM EDT
-12:00 PM EDT
Prefer video-based learning? The Target Test Prep OnDemand course is a one-of-a-kind video masterclass featuring 400 hours of lecture-style teaching by Scott Woodbury-Stewart, founder of Target Test Prep and one of the most accomplished GMAT instructors
Apr 2808:00 AM PDT
-11:00 AM PDT
Whether you are just beginning your MBA journey or fine-tuning your path to a 700+ score, GMAT Day is designed to give you a competitive edge.
happypuppy
GMAT 1: 720 Q50 V38 (Online)
Posts: 203
22 Nov 2021, 04:42
Kudos
Bookmarks
C
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
95%
(hard)
Question Stats:
40% (02:30) correct
60%
(02:31)
wrong
based on 330
sessions
History
Date
Time
Result
Not Attempted Yet
Products that are full of novel features generally have higher profit margins than simpler products. Because the stock market rewards higher returns on research and development and a company’s decisions are driven by stock prices, incumbents in any industry invest their research and development efforts on making products more complex, leaving the products that provide the lowest profit margins to competitors. However, such a strategy can easily backfire since it allows competitors to build competence and slowly come after those high margin products. Therefore, the best strategy for an incumbent is to invest to maintain leading positions in both low margin and high margin products.
In the above argument, the two boldface portions play which of the following roles?
(A) The first is a belief that the argument does not dispute; the second is a conclusion that supports another conclusion in the argument.
(B) The first is part of a reason for an observed behavior; the second is the main conclusion of the argument.
(C) The first is part of a reason for an observed behavior; the second is a belief that supports the position taken by the author.
(D) The first is an observation that the argument does not dispute; the second is a fact that supports the main conclusion of the argument.
(E) The first is a belief used to explain an observed behavior; the second is an intermediate conclusion that supports the main conclusion of the argument.
In the above argument, the two boldface portions play which of the following roles?
(A) The first is a belief that the argument does not dispute; the second is a conclusion that supports another conclusion in the argument.
(B) The first is part of a reason for an observed behavior; the second is the main conclusion of the argument.
(C) The first is part of a reason for an observed behavior; the second is a belief that supports the position taken by the author.
(D) The first is an observation that the argument does not dispute; the second is a fact that supports the main conclusion of the argument.
(E) The first is a belief used to explain an observed behavior; the second is an intermediate conclusion that supports the main conclusion of the argument.
03 Jan 2022, 22:45
Kudos
Bookmarks
(A) The first is a belief that the argument does not dispute; the second is a conclusion that supports another conclusion in the argument.
The first part of the boldface is correct. The first is a belief that the argument does not dispute.
However, the second boldface is not the main conclusion. The second boldface is an intermediate conclusion that is provided in support of the main conclusion.
(B) The first is part of a reason for an observed behavior; the second is the main conclusion of the argument.
The first boldface can be thought of a reason why any industry invest their research and development efforts on making products more complex.
However, the second boldface is not the main conclusion. The second boldface is an intermediate conclusion that is provided in support of the main conclusion.
(C) The first is part of a reason for an observed behavior; the second is a belief that supports the position taken by the author.
The first boldface can be thought of a reason why any industry invest their research and development efforts on making products more complex.
However, the second boldface is a not belief. It an conclusion in itself (though an intermediate one).
(D) The first is an observation that the argument does not dispute; the second is a fact that supports the main conclusion of the argument.
The first part of the boldface is correct. The first is a belief that the argument does not dispute.
The second boldface is not a fact. Note the use of the words 'can easily backfire'. The author concludes that the strategy can backfire (not that it always will).
(E) The first is a belief used to explain an observed behavior; the second is an intermediate conclusion that supports the main conclusion of the argument.
The first part of the boldface is correct. The first is a belief that the argument uses to explain an observed behavior.
The second boldface is an intermediate conclusion that is provided in support of the main conclusion.
The first part of the boldface is correct. The first is a belief that the argument does not dispute.
However, the second boldface is not the main conclusion. The second boldface is an intermediate conclusion that is provided in support of the main conclusion.
(B) The first is part of a reason for an observed behavior; the second is the main conclusion of the argument.
The first boldface can be thought of a reason why any industry invest their research and development efforts on making products more complex.
However, the second boldface is not the main conclusion. The second boldface is an intermediate conclusion that is provided in support of the main conclusion.
(C) The first is part of a reason for an observed behavior; the second is a belief that supports the position taken by the author.
The first boldface can be thought of a reason why any industry invest their research and development efforts on making products more complex.
However, the second boldface is a not belief. It an conclusion in itself (though an intermediate one).
(D) The first is an observation that the argument does not dispute; the second is a fact that supports the main conclusion of the argument.
The first part of the boldface is correct. The first is a belief that the argument does not dispute.
The second boldface is not a fact. Note the use of the words 'can easily backfire'. The author concludes that the strategy can backfire (not that it always will).
(E) The first is a belief used to explain an observed behavior; the second is an intermediate conclusion that supports the main conclusion of the argument.
The first part of the boldface is correct. The first is a belief that the argument uses to explain an observed behavior.
The second boldface is an intermediate conclusion that is provided in support of the main conclusion.
RenB
Joined: 13 Jul 2022
Last visit: 02 Mar 2026
Posts: 389
Own Kudos:
Given Kudos: 304
Location: India
Concentration: Finance, Nonprofit
Schools: Stanford '26 Wharton '26 (D) Booth '26 (D) Yale '26 (D) CBS '26 (A$$$) Darden '26 (WL) HBS '26 (D) Ross '26 (A$$$$) LBS '26 (D) Tuck '26 (A$$) Kellogg '26 (A)
GMAT Focus 1: 715 Q90 V84 DI82
GPA: 3.74
WE:Corporate Finance (Consulting)
Schools: Stanford '26 Wharton '26 (D) Booth '26 (D) Yale '26 (D) CBS '26 (A$$$) Darden '26 (WL) HBS '26 (D) Ross '26 (A$$$$) LBS '26 (D) Tuck '26 (A$$) Kellogg '26 (A)
GMAT Focus 1: 715 Q90 V84 DI82
Posts: 389
Kudos:
1,471
15 Jun 2023, 18:15
Kudos
Bookmarks
happypuppy
The first BF is a fact/ observation/ reason a phenomenon
The second BF is a belief/ intermediate conclusion/ a conclusion (supporting the main conclusion)
Only C satisfies the above. Thus C.
