-
typhoonguywlblwu
- Junior | Next Rank: 30 Posts
- Posts: 21
- Joined: Fri Mar 27, 2009 4:11 am
The following is a CR ques I attempted but was confused between two answer choices,the one i picked was incorrect and after going through the OE,I was unsure about the validity of it.
Please let me know your answer and your reasoning of it.I will post the OA shortly.
Thanks!!!
A car manufacturer periodically discounts
certain car models to its dealers to coincide
with intensive advertising campaigns
focused on those cars. After analyzing the
results of this program, the manufacturer
found that sales of the discounted cars was
strong, but it also concluded that it could
reap greater profits if it did not hold
promotions in this way.
Which of the following statements, if true,
best accounts for the manufacturer’s
conclusion about profitability?
A. Some consumers worry that discounted
cars are more likely to be defective.
B. The car manufacturer had not been
effective in controlling the production
costs of the cars, and these rising costs
ate into the manufacturer’s profits.
C. Although dealers requested large
numbers of the cars at discounted prices,
they generally sold the cars at the normal
retail price, thereby keeping more of the
profit for themselves.
D. Many consumers buy large-ticket items,
such as cars, only when they are on sale.
E. The manufacturer’s intensive advertising
campaign did not sufficiently emphasize
the cars’ high levels of performance on
road tests.[spoiler][/spoiler]
Please let me know your answer and your reasoning of it.I will post the OA shortly.
Thanks!!!
A car manufacturer periodically discounts
certain car models to its dealers to coincide
with intensive advertising campaigns
focused on those cars. After analyzing the
results of this program, the manufacturer
found that sales of the discounted cars was
strong, but it also concluded that it could
reap greater profits if it did not hold
promotions in this way.
Which of the following statements, if true,
best accounts for the manufacturer’s
conclusion about profitability?
A. Some consumers worry that discounted
cars are more likely to be defective.
B. The car manufacturer had not been
effective in controlling the production
costs of the cars, and these rising costs
ate into the manufacturer’s profits.
C. Although dealers requested large
numbers of the cars at discounted prices,
they generally sold the cars at the normal
retail price, thereby keeping more of the
profit for themselves.
D. Many consumers buy large-ticket items,
such as cars, only when they are on sale.
E. The manufacturer’s intensive advertising
campaign did not sufficiently emphasize
the cars’ high levels of performance on
road tests.[spoiler][/spoiler]
