Critical Reasoning

Green Meadows Natural Soda, a new product on the market, is bottled by Company X in a small plant outside of Milwaukee. Because it is made with expensive ingredients like organic fruit juices and cane sugar, it costs over three times as much to produce as market-leading sodas, which are generally produced and bottled in the southeast. Despite the expense of producing Green Meadows Natural Soda, executives at Company X are confident that the product will prove profitable.

Which of the following, if true, best supports the executives' belief that Green Meadows Natural Soda will prove profitable?


(A) The bottling plant where Green Meadows Natural Soda is produced uses new manufacturing technology which has proven to be more efficient than that used by the leading soda companies.

(B) The manufacturers of the market-leading soda brands have been uniformly unsuccessful in their attempts to lower their costs further.

(C) Because Green Meadows Natural Soda, unlike the leading sodas, uses high quality organic ingredients, it can be sold to markets such as health food stores for unusually high prices.

(D) Bottled soda is relatively cheap and easy to ship, making the potential market for Green Meadows Natural Soda no more geographically limited that that of the leading soda brands.

(E) Company X is considering expanding their product line to include baked goods, which are generally cheaper to produce