Which of the following most logically completes the passage?
Computer hardware major PCWare has planned to invest heavily in expanding its brick-and-mortar format stores at a time when its arch rivals—Mousecore and ChipStation—are pulling back from the market. Mousecore has sold a part of its business to a start-up and ChipStation announced that it is splitting into two companies that would no longer sell hardware. Both Mousecore and ChipStation commonly blamed the single-digit range of online sales of electronic items as a percentage of overall sales becoming a phenomenon in the industry. Skeptics in the industry label the plan as premature because PCWare's decision is apparently based on the short-term absence of competition in the market. PCWare is, however, confident of its decision since __________.The skeptic’s criticism is that PCWare is acting just because rivals are temporarily stepping back. So the blank should give a reason PCWare would be confident even if the “lack of competition” is not the real driver, meaning the expansion fits how the market and PCWare’s own sales actually work.
A. the sales of PCWare through its own website and other e-commerce websites have been growing beyond single digits as a percentage of its overall sales
This pushes toward online momentum, which does not explain confidence in expanding physical stores. It also cuts against the industry backdrop that online is typically single digit.
B. PCWare knows well that its new format stores would generate good sales especially when it opens stores in cities where there are none
This is basically a prediction with no real support in the passage. It does not answer the “premature” objection in a logical way.
C. PCWare knows well that its brand of hardware is the most popular in the computer hardware industry
Brand popularity does not specifically justify a brick-and-mortar expansion. A popular brand can sell through any channel, including online.
D. Computer hardware is a high-investment business, hence, the probability of new players posing a challenge is slim
This tries to argue the competitive gap will last, but it adds a big external claim (about entry barriers) that the passage does not set up. It feels like an extra assumption.
E. the majority of PCWare's sales are driven by company-owned stores and multi-brand brick-and-mortar outlets
This best fits. It gives a concrete reason PCWare is confident that expanding stores makes sense because its business already succeeds mainly through physical retail. That makes the decision not merely a short-term reaction to rivals, but an extension of its strongest sales channel. This directly supports
PCWare’s confidence.
Answer: (E)