Analyst: The pace of technological development brings a constant stream of new devices to the market, and many of them enjoy commercial success. But announcing new technology too soon after the introduction of a successful device can backfire. Once consumers hear about the new device, they may stop buying the one currently on sale. So, if a company wishes to announce the upcoming sale of a new device, it should wait until purchases of the old device have begun to decline.
Which of the following, if true, would best support the analyst's main assertion?
A)New technology often becomes less expensive after an initial surge in sales.
B)Media outlets, such as television programs and magazines, often report on the planned introduction of new devices while the sales of old devices are still strong.
C)Many consumers are unable to determine whether new technology is superior to current technology.
D)Surveys have shown that some consumers make only one or two technology purchases per year, whereas others make more frequent purchases.
E)Consumers tend to be loyal to technology companies whose products they enjoy using.
MGMAT CR..new devices
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A) OOSrahulg83 wrote:Analyst: The pace of technological development brings a constant stream of new devices to the market, and many of them enjoy commercial success. But announcing new technology too soon after the introduction of a successful device can backfire. Once consumers hear about the new device, they may stop buying the one currently on sale. So, if a company wishes to announce the upcoming sale of a new device, it should wait until purchases of the old device have begun to decline.
Which of the following, if true, would best support the analyst's main assertion?
A)New technology often becomes less expensive after an initial surge in sales.
B)Media outlets, such as television programs and magazines, often report on the planned introduction of new devices while the sales of old devices are still strong.
C)Many consumers are unable to determine whether new technology is superior to current technology.
D)Surveys have shown that some consumers make only one or two technology purchases per year, whereas others make more frequent purchases.
E)Consumers tend to be loyal to technology companies whose products they enjoy using.
B) This supports the assertion that the news of upcoming technology reaches the consumers and hence they stop buying old products
C)it is not supporting any assertion.Perhaps the customers go in for new technology because it is better than the older one.
D)does not strengthen anything
E)OOS
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But isn't B weakening the Analyst's conclusion, which says that companies should wait until sales of old products have begun to decline? If the media guys report about new product while old one is selling in good numbers, wouldn't it hamper sales of new one?
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IMO - E
Reason - Consumers tend to stay loyal to a company. Hence even if a competitor releases a product much before a company announces its product(waiting for the sales of an old product to decline) , consumers will get back to buying the product of this company..
Is this reasoning correct or am I reading too much into it and assuming too much ??
Reason - Consumers tend to stay loyal to a company. Hence even if a competitor releases a product much before a company announces its product(waiting for the sales of an old product to decline) , consumers will get back to buying the product of this company..
Is this reasoning correct or am I reading too much into it and assuming too much ??
IMO C.. Coz it directly tells us the reason why consumers don't buy the old device when a new one is introduced..
all other options are either out of scope or weakening the conclusion i.e. analyst's main assertion..
all other options are either out of scope or weakening the conclusion i.e. analyst's main assertion..
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Is there a difference between analyst's main assertion and analyst's main conclusion?
rahulg83 wrote:But isn't B weakening the Analyst's conclusion, which says that companies should wait until sales of old products have begun to decline? If the media guys report about new product while old one is selling in good numbers, wouldn't it hamper sales of new one?
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the conclusion of analysts is to hold on the annoucnement of the newproduct (as it may affect the sale of existing prodcuts). The only argument which supports analysts is (a)
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@rahulg83 : The OA shows that it adheres to one of the premises rather than the conclusion.
Please correct me if I am wrong as I boiled down to A & B and trying to figure out if there is a thin line between Main Assertion and Main conclusion
Thoughts ?
Please correct me if I am wrong as I boiled down to A & B and trying to figure out if there is a thin line between Main Assertion and Main conclusion
Thoughts ?
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'Once consumers "hear" about the new device, they may stop buying the one currently on sale' - Now where would the customers "hear" about the new things - Media, ads etc. Thus if company doesnt plan on launching a new product, media will not advertise it and consumers wont hear it there by buying the one on sale!
thus 'B'.
thus 'B'.
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