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29 Jan 2026, 23:22
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A
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
45%
(medium)
Question Stats:
61% (01:34) correct
39%
(01:49)
wrong
based on 179
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Not Attempted Yet
Market research suggests that three-wick candles disperse fragrance more effectively than one-wick candles, but their higher production cost makes them significantly more expensive. On this basis, the candle company has decided to market three-wick candles primarily to elite hotels, while continuing to sell one-wick candles to budget hotels.
The company’s strategy depends on which of the following assumptions?
A. Elite hotels place sufficient value on enhanced ambient fragrance to justify paying a premium for three-wick candles.
B. Budget hotels prioritize minimizing operating costs over maximizing sensory ambiance.
C. Guests at elite hotels are more sensitive to room fragrance than guests at budget hotels.
D. Three-wick candles are more profitable per unit than one-wick candles.
E. Budget hotels are unlikely to switch suppliers if offered discounted three-wick candles.
The company’s strategy depends on which of the following assumptions?
A. Elite hotels place sufficient value on enhanced ambient fragrance to justify paying a premium for three-wick candles.
B. Budget hotels prioritize minimizing operating costs over maximizing sensory ambiance.
C. Guests at elite hotels are more sensitive to room fragrance than guests at budget hotels.
D. Three-wick candles are more profitable per unit than one-wick candles.
E. Budget hotels are unlikely to switch suppliers if offered discounted three-wick candles.
29 Jan 2026, 23:23
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B & C are strong traps...sound relevant but are not required
D confuses profitability with willingness to buy
E introduces an unnecessary competitive angle
Negate A:
Elite hotels do NOT value enhanced fragrance enough to pay a premium.
D confuses profitability with willingness to buy
E introduces an unnecessary competitive angle
Negate A:
Elite hotels do NOT value enhanced fragrance enough to pay a premium.
30 Jan 2026, 00:36
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Market research suggests that three-wick candles disperse fragrance more effectively than one-wick candles, but their higher production cost makes them significantly more expensive. On this basis, the candle company has decided to market three-wick candles primarily to elite hotels, while continuing to sell one-wick candles to budget hotels.
The company’s strategy depends on which of the following assumptions?
Three wick candles smell stronger but cost more. The company plans to sell them to elite hotels and keep cheaper one wick candles for budget hotels, so the plan hinges on an assumption about who will pay extra for the benefit.
A. Elite hotels place sufficient value on enhanced ambient fragrance to justify paying a premium for three-wick candles.
This is the needed assumption. The strategy only works if elite hotels value the stronger fragrance enough to pay a premium for three wick candles. I’d say that is exactly what (A) states.
B. Budget hotels prioritize minimizing operating costs over maximizing sensory ambiance.
Not required. Budget hotels could care about costs a lot or only somewhat, the plan still needs (A) either way.
C. Guests at elite hotels are more sensitive to room fragrance than guests at budget hotels.
Not required. Elite hotels might pay for stronger fragrance as part of brand positioning even if guests are not more sensitive.
D. Three-wick candles are more profitable per unit than one-wick candles.
Not required. The argument is about matching price to customer type, not about per unit profit.
E. Budget hotels are unlikely to switch suppliers if offered discounted three-wick candles.
Not required. Nothing in the plan depends on whether budget hotels would switch if offered discounted three wick candles.
Answer: (A)
The company’s strategy depends on which of the following assumptions?
Three wick candles smell stronger but cost more. The company plans to sell them to elite hotels and keep cheaper one wick candles for budget hotels, so the plan hinges on an assumption about who will pay extra for the benefit.
A. Elite hotels place sufficient value on enhanced ambient fragrance to justify paying a premium for three-wick candles.
This is the needed assumption. The strategy only works if elite hotels value the stronger fragrance enough to pay a premium for three wick candles. I’d say that is exactly what (A) states.
B. Budget hotels prioritize minimizing operating costs over maximizing sensory ambiance.
Not required. Budget hotels could care about costs a lot or only somewhat, the plan still needs (A) either way.
C. Guests at elite hotels are more sensitive to room fragrance than guests at budget hotels.
Not required. Elite hotels might pay for stronger fragrance as part of brand positioning even if guests are not more sensitive.
D. Three-wick candles are more profitable per unit than one-wick candles.
Not required. The argument is about matching price to customer type, not about per unit profit.
E. Budget hotels are unlikely to switch suppliers if offered discounted three-wick candles.
Not required. Nothing in the plan depends on whether budget hotels would switch if offered discounted three wick candles.
Answer: (A)
