Critical Reasoning

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.

Is B the answer.

IMO B

Option B seems correct.

Main point- "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. "

Hence answer - B

Yes, OA is indeed B. But, I am not quite convinced. Why not C? I do not understand how answer choice B is right? B says "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", while the analyst's main point is that sale of new device should wait until the sales of old devices are declining.. Option B seems to be directly opposite to analyst's main point.

Could you please clarify my confusion..

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.
Yes, read carefully.
"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,...---->If media outlets do not report, then how do we know it can backfire?

C) Many consumers are unable to determine whether new technology is superior to current technology.
There is no statement whatsoever regarding "superiority" Inference question is strictly based on the given statement.

hope this helps.

One more thing I thought of that the argument indirectly tells that consumers believe that new technology will be much superior than the existing one.So, thats the reason consumers move to the new tech.

Now as per above reasoning consumers can determine whether new technology is superior to current technology or not.

So option C is invalid.
what do yo think hitmewithgmat ??

M still confused how to pick B.

vaibhav.iit2002 wrote:M still confused how to pick B.

OK. Let's do it step by step

Analyst's main assertion is that in order to get the maximum profit from its sales, company should not get their plan on introducing new device revealed.

A) Irrelevant to the analyst conclusion since the (initial introduction and therefore)surge still WILL take place, even if the company will wait until the purchases of an older product start to decline.

B) If mass media possess info about introduction of new device, the readers or viewers are likely to stop purchasing old device in order to buy a newer model. Correct, if company announces their plans, mass media will definitely provide this information to customers.

C) Irrelevant

D) Irrelevant

E) Irrelevant =)