Company X manufactures swim wear and planned to launch a new line of women's bathing suits in March, which is typically the peak time of year for swim wear sales. The company conducted consumer polls, which returned favorable results for both style and price, and took out advertisements in major fashion magazines and television stations. Yet the launch was disappointing: sales in March did not exceed even half of the company's sales during the same period in the previous year.
Each of the following, if true, could explain the disappointing sales of the new swim wear line EXCEPT:
None of the stores carrying the new swim wear line displayed it prominently.
The company's manufacturing plants experienced difficulty in obtaining dyes in the advertised colors and so substituted different colors.
A major competitor launched a line of similar swim wear at a lower price in February.
A scene in which a major actress was to wear one of the new swimsuits in a much anticipated movie to be released in February was never filmed.
The prediction of a cool, rainy summer by meteorologists received much attention in the national media.
swim wear
This topic has expert replies
- Bill@VeritasPrep
- GMAT Instructor
- Posts: 1248
- Joined: Thu Mar 29, 2012 2:57 pm
- Location: Everywhere
- Thanked: 503 times
- Followed by:192 members
- GMAT Score:780
Company X manufactures swim wear and planned to launch a new line of women's bathing suits in March, which is typically the peak time of year for swim wear sales. The company conducted consumer polls, which returned favorable results for both style and price, and took out advertisements in major fashion magazines and television stations. Yet the launch was disappointing: sales in March did not exceed even half of the company's sales during the same period in the previous year.
Each of the following, if true, could explain the disappointing sales of the new swim wear line EXCEPT:
None of the stores carrying the new swim wear line displayed it prominently.
(If consumers aren't aware of a new product, it is unlikely that they will buy it).
The company's manufacturing plants experienced difficulty in obtaining dyes in the advertised colors and so substituted different colors.
(Color is part of style; if consumer polls liked the advertised colors, and the substituted colors were not as liked, then sales would be lower than expected)
A major competitor launched a line of similar swim wear at a lower price in February.
(If style is similar, consumers may purchase based on price)
A scene in which a major actress was to wear one of the new swimsuits in a much anticipated movie to be released in February was never filmed.
(We have no way of knowing how this was factored into projected sales. It may not have been, so it may not have an effect on sales.)
The prediction of a cool, rainy summer by meteorologists received much attention in the national media.
(If consumers do not expect to get much use out of their new swimwear, they may elect not to make the purchase)
Each of the following, if true, could explain the disappointing sales of the new swim wear line EXCEPT:
None of the stores carrying the new swim wear line displayed it prominently.
(If consumers aren't aware of a new product, it is unlikely that they will buy it).
The company's manufacturing plants experienced difficulty in obtaining dyes in the advertised colors and so substituted different colors.
(Color is part of style; if consumer polls liked the advertised colors, and the substituted colors were not as liked, then sales would be lower than expected)
A major competitor launched a line of similar swim wear at a lower price in February.
(If style is similar, consumers may purchase based on price)
A scene in which a major actress was to wear one of the new swimsuits in a much anticipated movie to be released in February was never filmed.
(We have no way of knowing how this was factored into projected sales. It may not have been, so it may not have an effect on sales.)
The prediction of a cool, rainy summer by meteorologists received much attention in the national media.
(If consumers do not expect to get much use out of their new swimwear, they may elect not to make the purchase)
Join Veritas Prep's 2010 Instructor of the Year, Matt Douglas for GMATT Mondays
Visit the Veritas Prep Blog
Try the FREE Veritas Prep Practice Test
Visit the Veritas Prep Blog
Try the FREE Veritas Prep Practice Test