Algorpal Industries produces high quality pneumatic filters. For years, they have primarily served manufacturers of domestic agricultural equipment, and over time, this market has been decreasing. A consultant recommended that, with a minor modification, Algorpal could expand into pneumatic filters for biomedical research technology, a rapidly expanding market. The consultant argued that this single change could reverse a ten-year decline in Algorpal’s profits.

Which of the following would be the most useful to establish in evaluating the consultant’s recommendation?


A. Whether other markets, such as food processing and food service, would offer greater opportunities for potential profits.

B. Whether the number of biomedical devices at any single research center is greater than the number of pieces of equipment requiring filters on a single farm.

C. How the ambient indoor air quality in a biomedical research center compares to the typical outdoor air quality in an agricultural zone.

D. Whether the competition in the biomedical technology sector would allow for profits similar to what those in the agricultural sector had been

E. Whether countries with expanding agricultural sectors would use farm equipment similarly to the domestic equipment current served by Algorpal.



OA D

Source: Magoosh