With less than 20 per cent market share, Cherico Airline has been stea

Question

With less than 20 per cent market share, Cherico Airline has been steadily losing ground to other competing airlines. However, the recent addition of the Dreamliner aircraft to its fleet might just turn the tide for Cherico. The Dreamliner claims 15 per cent more fuel efficiency than competing similar aircrafts and cheaper maintenance costs. With the induction of these planes, Cherico will get a competitive advantage over its more aggressive rivals, which will be saddled with older aircrafts and get deliveries of their own Dreamliners only after one year.

Which of the following would be most useful to determine in order to evaluate the argument?

(A) Whether it is possible for Cherico to cut costs even more by reducing the number of stewards in the air plane

(B) Whether it is possible for Cherico to improve the Dreamliner’s fuel efficiency even further by restricting the amount of luggage passengers can carry

(C) Whether Cherico can increase its revenues by charging for the meals it serves in its aircrafts

(D) Whether the Dreamliner’s maintenance costs will be substantially lower than those of Cherico’s rivals’ aircrafts

(E) Whether it will be possible for Cherico’s rivals to somehow get deliveries of their own Dreamliners expedited

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hloonker · Answer

Bunuel

The main prompt uses the word 'only' in the expedited delivery of competitor dream liners. how can 'E' then be considered.

aryansinghalpha · Answer

can anyone explain the answer for this question? I am torn between D and E

Bish0p · Answer

D is a great option but E is the main point of discussion, if we can dent E, then whole argument falls but with D, there are other factors also in place like fuel efficiency + 1 yr delivery delay for competitors.

Bunuel · Answer

Official Explanation

Answer: E

The whole argument is based on the assumption that Cherico’s competitors will not be able to get the Dreamliner before 2014. If there was some way in which the competitors’ could also get their hands on the Dreamliner earlier, then Cherico’s competitive advantage will get neutralized. E mentions this point and is the correct answer.

(A) It is possible that other airlines could also reduce the number of stewards in their airplanes. The argument is only concerned with the competitive advantage accruing due to the Dreamliner.

(B) This may be an added advantage but the whole point of the argument is that the competitors will not be able to get their hands on the Dreamliner before 2014.

(C) This has no bearing on the competitive advantage accruing due to the Dreamliner.

(D) The argument clearly states that this will be the case so this basically repeats what is already stated in the argument.

(E) The correct answer.

anish777 · Answer

is E the right answer choice because D misses the fuel efficiency point ?

Nikita45 · Answer

Hi  KarishmaB   MartyMurray   gmatophobia

This does not seem to be a good question

It's written already that "get deliveries of their own Dreamliners only after one year". So now if we are saying that they can expediate the process and can get delivery before 1 year so we are going against the premise.

Can someone explain if my thinking is correct?

MartyMurray · Answer

Your thinking is correct. The question is busted.

napolean92728 · Answer

The correct answer is:
 (E) Whether it will be possible for Cherico’s rivals to somehow get deliveries of their own Dreamliners expedited

Explanation: 
The argument is that  Cherico Airlines will gain a competitive advantage  because:
 
 It is getting Dreamliners now. 
 Dreamliners are  more fuel-efficient  and have  cheaper maintenance . 
  Rivals won't get their Dreamliners for another year , so Cherico will enjoy  a temporary edge .  
The  strength of this argument  depends on  how long Cherico will have this advantage . If rivals can somehow  get their Dreamliners earlier than expected , then the competitive advantage  shrinks or disappears .

✅ Why  E  is the best answer:
 
 It addresses the  core assumption : that  Cherico will enjoy exclusive benefits for a full year . 
 If rivals can  expedite delivery , then the  competitive advantage is short-lived , and the  argument weakens . 
 If they  cannot  expedite, then Cherico does in fact  gain an edge , at least for a while.  
This makes  (E)  the most useful for  evaluating the strength of the argument .

❌ Elimination of other options:
 (A) Whether it is possible for Cherico to cut costs even more by reducing the number of stewards 
 
 ❌ Irrelevant to Dreamliner advantage. It’s about  staffing , not about  the aircraft or the competition .  
 (B) Whether Cherico can improve Dreamliner’s fuel efficiency by limiting luggage 
 
 ❌ Hypothetical improvement, and not tied to the  core claim of competitive advantage  from the Dreamliner  as it is  now.  
 (C) Whether Cherico can increase revenue by charging for meals 
 
 ❌ Revenue strategies unrelated to Dreamliner advantage. Doesn’t help us assess  whether Dreamliner gives Cherico an edge .  
 (D) Whether Dreamliner’s maintenance costs are lower than rivals' aircrafts 
 
 ❌ Seems relevant, but  already assumed in the argument  ("cheaper maintenance costs"). Unless this assumption is challenged, it doesn’t  advance the evaluation  much.

With less than 20 per cent market share, Cherico Airline has been stea

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With less than 20 per cent market share, Cherico Airline has been stea

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