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20 Jan 2022, 02:30
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B
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
85%
(hard)
Question Stats:
51% (02:21) correct
49%
(02:33)
wrong
based on 517
sessions
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Not Attempted Yet
Citing a year-long downward trend in global sales of personal computers, the CEO of Farmer Computer has announced that his company will shift much of its emphasis from PC production to corporate networking systems. Personal computers are now much more able to adapt to new networking software, but the software itself must be updated frequently.
Which of the following, if true, casts the most serious doubt onto this new strategy?
A. The Farmer brand name is well respected in the computer industry. but few industry analysts believe that Farmer will have the same success with networking.
B. Sales of Farmer PCs have increased dramatically over each of the past six quarters, and they show no signs of slowing down.
C. A slew of new competitors in the PC production business will inevitably result in widespread cost cutting to preserve market share.
D. Sales of cellular phones and other mobile communications are expanding at three times the rate of networking companies.
E. Two other companies have approached Farmer with the prospect of a three-way merger to form a dominant company that would own market share in the PC business.
Which of the following, if true, casts the most serious doubt onto this new strategy?
A. The Farmer brand name is well respected in the computer industry. but few industry analysts believe that Farmer will have the same success with networking.
B. Sales of Farmer PCs have increased dramatically over each of the past six quarters, and they show no signs of slowing down.
C. A slew of new competitors in the PC production business will inevitably result in widespread cost cutting to preserve market share.
D. Sales of cellular phones and other mobile communications are expanding at three times the rate of networking companies.
E. Two other companies have approached Farmer with the prospect of a three-way merger to form a dominant company that would own market share in the PC business.
20 Jan 2022, 17:53
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Citing a year-long downward trend in global sales of personal computers, the CEO of Farmer Computer has announced that his company will shift much of its emphasis from PC production to corporate networking systems. Personal computers are now much more able to adapt to new networking software, but the software itself must be updated frequently.
Which of the following, if true, casts the most serious doubt onto this new strategy?
2 key points :
1. decision based on global decline of PC sales trend
2. PCs adapt to new software --> can it lead to increase sales?
A. The Farmer brand name is well respected in the computer industry. but few industry analysts believe that Farmer will have the same success with networking.
>>believe doesnt help to explain the change in strategy
B. Sales of Farmer PCs have increased dramatically over each of the past six quarters, and they show no signs of slowing down.
>> decision was based on sales but as sales are going to be increased, the emphasis should be on PCs
C. A slew of new competitors in the PC production business will inevitably result in widespread cost cutting to preserve market share.
>> seems ok but still not better than B as in C it doesnt explain why company should focus back on PC
D. Sales of cellular phones and other mobile communications are expanding at three times the rate of networking companies.
>> irrelevant; our scope network vs PC
E. Two other companies have approached Farmer with the prospect of a three-way merger to form a dominant company that would own market share in the PC business.
>>remote relation : PCs vs networking
Final answwer: B
Which of the following, if true, casts the most serious doubt onto this new strategy?
2 key points :
1. decision based on global decline of PC sales trend
2. PCs adapt to new software --> can it lead to increase sales?
A. The Farmer brand name is well respected in the computer industry. but few industry analysts believe that Farmer will have the same success with networking.
>>believe doesnt help to explain the change in strategy
B. Sales of Farmer PCs have increased dramatically over each of the past six quarters, and they show no signs of slowing down.
>> decision was based on sales but as sales are going to be increased, the emphasis should be on PCs
C. A slew of new competitors in the PC production business will inevitably result in widespread cost cutting to preserve market share.
>> seems ok but still not better than B as in C it doesnt explain why company should focus back on PC
D. Sales of cellular phones and other mobile communications are expanding at three times the rate of networking companies.
>> irrelevant; our scope network vs PC
E. Two other companies have approached Farmer with the prospect of a three-way merger to form a dominant company that would own market share in the PC business.
>>remote relation : PCs vs networking
Final answwer: B
28 Jul 2024, 15:20
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But how can you select an option which directly falsifying something, stated in the passage? I believe it's not correct as per GMAT!
