A product that represents a clear technological advance over competing products can generally command a
high price.
Because technological advances tend to be quickly surpassed and companies want to
make large profits while they still can, many companies charge the maximum possible price for
such a product.
But large profits on the new product will give competitors a strong incentive to quickly match
the new product's capabilities.
[b]Consequently, the strategy to maximize overall profit from a new
product is to charge less than the greatest possible price.
[/b]
[b]
The first is a consideration that has been raised to argue that a certain strategy is counterproductive; the
second presents that strategy.
B. The first is a consideration raised to support the strategy that the argument recommends; the second presents
that strategy.
C. The first is a consideration raised to explain the appeal of a certain strategy; the second presents that strategy.
D. The first is an assumption, rejected by the argument, that has been used to justify a course of action; the
second presents that course of action.
E. The first is a consideration that has been used to justify pursuing a goal that the argument rejects; the second
presents a course of action that has been adopted in pursuit of that goal.[/b]
high price.
Because technological advances tend to be quickly surpassed and companies want to
make large profits while they still can, many companies charge the maximum possible price for
such a product.
But large profits on the new product will give competitors a strong incentive to quickly match
the new product's capabilities.
[b]Consequently, the strategy to maximize overall profit from a new
product is to charge less than the greatest possible price.
[/b]
[b]
The first is a consideration that has been raised to argue that a certain strategy is counterproductive; the
second presents that strategy.
B. The first is a consideration raised to support the strategy that the argument recommends; the second presents
that strategy.
C. The first is a consideration raised to explain the appeal of a certain strategy; the second presents that strategy.
D. The first is an assumption, rejected by the argument, that has been used to justify a course of action; the
second presents that course of action.
E. The first is a consideration that has been used to justify pursuing a goal that the argument rejects; the second
presents a course of action that has been adopted in pursuit of that goal.[/b]
