Bunuel
Which of the following best completes the passage below?
When mobile phone companies, used to reporting several million new customers in a month, do the opposite and report a sharp fall in that number, you know that the country’s most dynamic industry has entered a new, more troubled phase. However, this statistic may not necessarily be as much of a cause for concern as it looks because ________________________.
(A) mobile phone companies have huge cash reserves so they will not face the problem of cash flow for a few months at least
(B) inflated claims about new customer acquisition have been very much a part of the industry story so far
(C) the sales of mobile phone handsets hasn’t fallen down appreciably
(D) other competitors have not entered the market in huge numbers
(E) mobile phone companies are making huge investments in widening their network coverage
The question stem begins the statement about mobile companies which show the rise in customer numbers , but do they really show the drop in customer number also. It mentions the company, which has been more dynamic in the past years, have shown troubled phase in the recent years.
The next line begins with the word,
however - which clearly denotes the shift from earlier perception. This statistics, May not be cause of concern as it looks because ______________________.
The blank space has to be filled with some information which clearly mentions the statistical data to be either false or misleading.
(A) mobile phone companies have huge cash reserves so they will not face the problem of cash flow for a few months at least
The question speaks about customer increase or decrease only. It neither speaks about profit or revenue or cash reserves that are needed for the effective functioning of the company. Since this option speaks about cash reserve, which is just not relevant to the question in hand. Hence wrong.
(B) inflated claims about new customer acquisition have been very much a part of the industry story so farThis option clearly mentions the customer numbers are inflated. So any decrease in the inflated value is not going to give us the accurate figures or impact on the dynamic company. Hence, the option clearly justifies as the suitable option for conclusion. This option goes contradictory to the initial few statements of the question. Hence, correct.
(C) the sales of mobile phone handsets hasn’t fallen down appreciably.
This question is not discussing about mobile handsets with each customer implicitly or the change in number of handsets with each customer. Hence, irrelevant option. Wrong.
(D) other competitors have not entered the market in huge numbers.
The competition between telephone companies or their market share is not the core crux of the question. Rather, the increase or decrease in numbers is not to be worried. Hence, wrong.
(E) mobile phone companies are making huge investments in widening their network coverage.
This option mentions the investments made by mobile companies to expand their network coverage - this might include installing new telephone towers at remote locations, where the population density can be very low. This option doesn’t explain either the increase or decrease which has been mentioned in the question. Hence wrong.
Option B