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by heshamelaziry » Sat Oct 24, 2009 10:57 am
The marketing department recently announced that advertising in the quarterly journal will cost 15 to 20 percent more next summer than it cost last summer. The members of the marketing department argued that in spite of this increase, advertisers will continue to profit from advertising in the journal, so advertising space will be no harder to sell next summer than it was last summer.

Which one of the following, if true, would most support the marketing department's argument?

The cost of production and distribution of products typically advertised in the journal are expected to rise 5 to 10 percent in the next year.

The system for tracking the number of people who subscribe to the quarterly journal will change next summer.

Next summer, advertising space in the journal will no longer be available in blocks smaller than 1/4 page.

The amount of advertising space purchased by providers of services is increasing, while the amount of advertising space purchased by providers of products is decreasing.

A recent survey has shown that the average amount of time people spend reading the quarterly journal is increasing at a rate of 3 percent every month.


OA E

I have atest in 48 hours and haven't the slightest clue what this is talking about. Who is advertising and who are the advertisers ? BS

If advertisers are the news papers were the marketing team ads show on, then why the marketing team is discussing something that is irrelevant to them ?

If advertisers include the marketing team, how they are going to profit or lose if the journal will easily sell space ?


Testluv, help please
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by cbenk121 » Sat Oct 24, 2009 1:16 pm
heshamelaziry wrote:The marketing department recently announced that advertising in the quarterly journal will cost 15 to 20 percent more next summer than it cost last summer. The members of the marketing department argued that in spite of this increase, advertisers will continue to profit from advertising in the journal, so advertising space will be no harder to sell next summer than it was last summer.

Which one of the following, if true, would most support the marketing department's argument?

The cost of production and distribution of products typically advertised in the journal are expected to rise 5 to 10 percent in the next year.

The system for tracking the number of people who subscribe to the quarterly journal will change next summer.

Next summer, advertising space in the journal will no longer be available in blocks smaller than 1/4 page.

The amount of advertising space purchased by providers of services is increasing, while the amount of advertising space purchased by providers of products is decreasing.

A recent survey has shown that the average amount of time people spend reading the quarterly journal is increasing at a rate of 3 percent every month.


OA E

I have atest in 48 hours and haven't the slightest clue what this is talking about. Who is advertising and who are the advertisers ? BS

If advertisers are the news papers were the marketing team ads show on, then why the marketing team is discussing something that is irrelevant to them ?

If advertisers include the marketing team, how they are going to profit or lose if the journal will easily sell space ?


Testluv, help please
BS? No...it's just unimportant who is advertising.

One assumption in the GMAT that you are expected to know, I've found, is that any media charges advertisers for advertisments based on the circulation. This makes sense: if the advertisement is read by 10,000 people versus 100,000 people, you'd pay more for the latter circulation.

So, the argument is that even if we charge 20% more for advertisers to place ads, they will still place ads. This means anything that demonstrates more people will see the ads will strengthen this argument.

(A) This weakens argument - if both marketing costs AND production costs are going up, the profit potential falls even faster. This makes it HARDER to sell ads.

(B) This doesn't say anything about circulation increasing, nor if that means ads will be able to be targeted better. So, we can't draw anything from this.

(C) This weakens argument - some advertisers probably like the smaller (and necessarily cheaper) ads. This makes it HARDER to sell ads.

(D) This doesn't say anything as to the TOTAL number of advertisers, so it's unknown if it will be EASIER or HARDER to sell ads.

(E) This states that people will spend more time reading the magazine. It follows if they spend more time reading the magazine, they probably will see more ads. This is more attractive to advertisers, thus it will be EASIER to sell ads.
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by Testluv » Sat Oct 24, 2009 2:17 pm
Hi heshamelaziry,

...actually, I think cbenk121 nailed it. PM me if you have any specific issues you'd like addressed.

In the last two days before the test, I would recommend not doing too many more new questions, but rather consolidating learnings from questions you've already done, and taking it easy.

Anxiety comes from now knowing. But you don't have to know nearly everything to get a good score. It is important to go into the test confident in all that we have learned. Confidence comes from generating good feelings towards the test. You generate good feeelings by feeling happy and proud of everything you've learned, and feeling prepared to use it.
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by heshamelaziry » Sat Oct 24, 2009 5:25 pm
Could somebody explain who is doing what is this question ? this is the OE: The marketing department's position is that advertisers will continue advertising in the journal, even though the advertising fees will increase. The fact that readers continue to increase their time spent reading the journal tends to support the proposition that advertisers will still be interested in advertising in the journal. The survey results do not provide unassailable proof of the correctness of the marketing department's position. They do, however, provide support for it. Each of the other choices is irrelevant to the question of advertisers' decisions to purchase advertising space.
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E

by brick2009 » Sun Nov 01, 2009 10:22 pm
E is the only choice that makes sense.

P: Advertisers will continue to profit by placing ads in the mag..

How is that possible? The returns of placing an ad > cost of placing an ad. when will the returns be realized..only if MORE ppl read the ad...(its is presumed...more eyes = more revenue)

There is only one choice that come close to addressing this paraphrase.
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