Sol Citrus, a small orchard that produces only organic citrus fruit, has faced new competition ever since Mega Citrus, a much larger orchard from a neighboring state, began shipping fruit across state lines. In an attempt to increase its market share and take business away from Sol Citrus, Mega Citrus recently began competing directly with Sol Citrus at local farmers’ markets, selling non-organic oranges at a price per pound that is 30% lower than Sol Citrus’s current price. Although most of the patrons of those farmers' markets consider low prices to be a priority when selecting fruit, the owners of Sol Citrus have decided that they will not lower current orange prices in response to Mega Citrus's move.
Which of the following, if true, best explains Sol Citrus’s decision not to lower prices?
(A) Some consumers consider higher prices to a be a sign of higher quality.
(B) In each of the five years before Mega Citrus began shipping fruit across state lines, sales of Sol Citrus oranges at local farmers' markets exceeded combined sales of oranges from all other orchards selling fruit at the markets.
(C) If Sol Citrus were to lower its prices by just 20%, most of its regular farmers' market customers would continue buying Sol Citrus oranges instead of Mega Citrus oranges.
(D) When purchasing citrus fruit, most customers of the farmers' markets consider the fruit’s classification as "organic" to be more important than the cost of the fruit.
(E) Unlike Sol Citrus, Mega Citrus grows genetically modified fruits sprayed with pesticides that are illegal in the state in which Sol Citrus is located.
OA: D
Which of the following, if true, best explains Sol Citrus’s decision not to lower prices?
(A) Some consumers consider higher prices to a be a sign of higher quality.
(B) In each of the five years before Mega Citrus began shipping fruit across state lines, sales of Sol Citrus oranges at local farmers' markets exceeded combined sales of oranges from all other orchards selling fruit at the markets.
(C) If Sol Citrus were to lower its prices by just 20%, most of its regular farmers' market customers would continue buying Sol Citrus oranges instead of Mega Citrus oranges.
(D) When purchasing citrus fruit, most customers of the farmers' markets consider the fruit’s classification as "organic" to be more important than the cost of the fruit.
(E) Unlike Sol Citrus, Mega Citrus grows genetically modified fruits sprayed with pesticides that are illegal in the state in which Sol Citrus is located.
OA: D
