Social observer: Advertising agencies are willfully neglecting the most profitable segment of the market: older adults. Older adults control more of this nation's personal disposable income than does the rest of the population combined. Therefore, advertising agencies can maximize their clients' profits if they gear their advertisements mainly to older adults.
Which one of the following, if assumed, would enable the conclusion of the social observer's argument to be properly inferred?The argument tells us that older adults control
more than 50 percent of the nation's disposable income. To make the conclusion follow logically, we need a principle saying that
targeting a group that controls at least half of the disposable income is sufficient to maximize clients' profits.
(A) Older people generally have larger incomes and have had longer to accumulate resources than younger people.
Incorrect. This may help explain why older adults control so much disposable income, but it does not establish that advertising mainly to them will maximize profits.
(B) No company can maximize its profits unless it markets its products primarily to a population segment that controls most of this nation's personal disposable income.
Incorrect. This says targeting such a group is
necessary for maximizing profits, not that doing so is sufficient. A company could target that group and still fail to maximize profits.
(C) Advertising that is directed toward the wealthiest people is the most effective means for a business to improve the reputation of its products.
Incorrect. Improving a product's reputation is not the same as maximizing profits.
(D) No advertising agency that tailors its advertisements mainly to an audience that does not control much of this nation's personal disposable income will maximize its clients' profits.
Incorrect. This tells us what happens when agencies target groups with little disposable income. It does not establish that targeting older adults will maximize profits.
(E) Any advertising agency that gears its advertisements mainly to a population segment that controls 50 percent or more of this nation's personal disposable income will maximize its clients' profits.
Correct. Older adults control more disposable income than the rest of the population combined, so they control more than 50 percent of the total. If targeting any group controlling at least 50 percent of disposable income guarantees maximum profits, then targeting older adults will maximize clients' profits. This makes the conclusion follow.
Answer: (E)