Which of the following, if true, would best support the recommendation that the company should no longer manufacture spare parts for its models?
Strengthen the recommendation that company SHOULD NO LONGER MANUFACTURE SPARE PARTS FOR ITS MODELS.
A. After prolonged use, some of the older models of Mixit smoothie-makers become irreparable.
So what if some of the oldies become irreparable. If majority of the old mixers can be salvaged, the company should keep manufacturing spare parts. This doesn't strengthen the recommendation. REJECT
B. Not many manufacturers of smoothie-makers produce spare parts for their older models.
Manufacturer' decision about making spare parts cannot be based on what other manufacturers are doing. REJECT
C. It is becoming increasingly cheaper to replace a smoothie-maker with a new one than to get it repaired.
This could be a strengthener.
If repair costs are higher, one would go and buy a new smoothie maker. KEEP
D. The profit margins in the sales of spare parts are significantly lower than the profit margins in the sales of smoothie-makers.
Profit margins in spare parts may be lower as compared to margins in the sale of new smoothie makers but what if repair cost is higher than the cost of a new smoothie maker. People would rather buy a new one than getting an old one repaired.
E. Excellent customer service is one of the necessary requirements for a company to be successful in the smoothie-maker market. OUT OF SCOPE
I am confused between C and D and settle with C.
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