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OG CR Pls explain the options

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dextar Master | Next Rank: 500 Posts Default Avatar
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OG CR Pls explain the options

Post Thu Apr 17, 2008 9:25 am
Sales of telephones have increased dramtically over the last year. In order to take advantage of this universe, Mamoth Industries plans to expand production of its own model of telephone, while continuing its already very extensive advertising of the product.

Which of the following, if true, provides most support of the view that Mamoth industries can't increase tis sales by adopting the plan outlined above?

1) Advertising has made the brand name of Mamoth Industries' telephones widely known , but few consumers know that Mammoth Industries owns this brand.
2) Despite a sight decline in the retail prices , sales of Mammoth industries' telephones have fallen in the last year.


Pls explain me why should we keep option 1 out?

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zlickfish Newbie | Next Rank: 10 Posts Default Avatar
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Post Sat Apr 19, 2008 2:35 am
Sales of telephones have increased dramtically over the last year. In order to take advantage of this universe, Mamoth Industries plans to expand production of its own model of telephone, while continuing its already very extensive advertising of the product.

Which of the following, if true, provides most support of the view that Mamoth industries can't increase tis sales by adopting the plan outlined above?

1) Advertising has made the brand name of Mamoth Industries' telephones widely known , but few consumers know that Mammoth Industries owns this brand.
2) Despite a sight decline in the retail prices , sales of Mammoth industries' telephones have fallen in the last year.


Pls explain me why should we keep option 1 out?

The plan is to expand production (while continuing with the current ad plan.)

1) does not tell us why the sales wouldn't increase. If the sales are already doing well, what difference would it make if the consumers know that the brand is owned by Mamoth???

Hence avoid 1).

That's my thought. Do u have any other thought?

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Stuart Kovinsky GMAT Instructor
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Post Fri Apr 18, 2008 11:44 am
dextar wrote:
Sales of telephones have increased dramtically over the last year. In order to take advantage of this universe, Mamoth Industries plans to expand production of its own model of telephone, while continuing its already very extensive advertising of the product.

Which of the following, if true, provides most support of the view that Mamoth industries can't increase tis sales by adopting the plan outlined above?

1) Advertising has made the brand name of Mamoth Industries' telephones widely known , but few consumers know that Mammoth Industries owns this brand.
2) Despite a sight decline in the retail prices , sales of Mammoth industries' telephones have fallen in the last year.


Pls explain me why should we keep option 1 out?
Who cares if people know who manufactures the phone? The phone itself is very well known.

The question asks us to find a reason why expanding production won't increase sales. (1) has absolutely nothing to do with that issue.

A cardinal rule of critical reasoning is not to read too much into the arguments - in other words, don't let your own assumptions about how the world works colour your analysis of each argument.

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netigen Legendary Member Default Avatar
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Post Thu Apr 17, 2008 9:45 am
Strong brand usually means strong sales so statement 1 above actually strengthens the argument rather than weaken it.

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dextar Master | Next Rank: 500 Posts Default Avatar
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Post Fri Apr 18, 2008 12:00 am
netigen wrote:
Strong brand usually means strong sales so statement 1 above actually strengthens the argument rather than weaken it.
Yes I agree . However the statement furthur says that very few customers know about it. Won't this impact its sales?

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