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technological development

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technological development

by Uri » Fri Apr 17, 2009 2:44 am
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?
  1. New technology often becomes less expensive after an initial surge in sales.
  2. 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.
  3. Many consumers are unable to determine whether new technology is superior to current technology.
  4. Surveys have shown that some consumers make only one or two technology purchases per year, whereas others make more frequent purchases.
  5. Consumers tend to be loyal to technology companies whose products they enjoy using.


OA: [spoiler](B)[/spoiler]

Can you please provide your reasoning?
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by ketkoag » Fri Apr 17, 2009 3:12 am
I narrowed down to C and B. but B is better among the two. here, it has been mentioned that when consumers hear about the new technology, they stop buying the current product, so among the answer choices b is the one that mentions that media introduces that info to the public, so people stop buying the current product.
So B is the answer.
Hope this helps!!
Nice question..
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by dendude » Fri Apr 17, 2009 8:17 am
I was actually debating over B and E.
I chose B to be on the safe side.
But I am wondering if my answer choice is correct since I am unable to find a reason to disprove E.

The conclusion of this argument is,
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.

If consumers are not loyal to companies would they not tend to go with another company's ad stating the arrival of a new technologically advanced product and hence cause a sales-decline of the existing product?
Any thoughts?
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by Uri » Sun Apr 19, 2009 12:41 am
dendude wrote:I was actually debating over B and E.
I chose B to be on the safe side.
But I am wondering if my answer choice is correct since I am unable to find a reason to disprove E.

The conclusion of this argument is,
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.

If consumers are not loyal to companies would they not tend to go with another company's ad stating the arrival of a new technologically advanced product and hence cause a sales-decline of the existing product?
Any thoughts?
you are thinking about two companies, which is outside the scope of the argument. here the argument is talking about only one company, whose products the customer may think of purchasing and the same company may think of announcing the arrival of a new product. so, you can safely neglect (E).

But can anyone provide some more support for (B)? the reasoning in favour of (B) is not very clear to me.
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by Brad.C » Sun May 15, 2016 6:41 am
I also think B is the right answer
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