GMAT Essays (AWA)

"The Cumquat Cafe began advertising on our local radio station this year and was delighted to see its business increase by 10 percent over last year's totals. Their success shows you how you can use radio advertising to make your business more profitable."
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According to the argument, the author categorically concludes that radio advertising is one of the ways to make a business more profitable. This conclusion has been based on reports of a 10 percent increase in last year's total of a cafe after it started using radio to advertise. The author has concluded based on insufficient premises and his assumptions are flawed.

First, the author assumes that the local Radio station was the only means by which the cafe advertised itself and that no other mediums such as newspaper, internet were used. It is quite possible that other advertising mediums were also used which might have led to the increase in business. If it is found in a survey that the majority of the people have come to known about the cafe through mediums other than radio, then it poses a question on the conclusion.

Second, the author assumes that the majority of the population in every city listen to radio and have good coverage. This assumption is flawed as it is quite possible that none of the people living in the target city listen to radio and that they depend on other mediums for information. If this is true then radio advertising cannot categorically be a means to increase the profits of a business entity.

Third, an assumption has been made that radio advertising can impact the business irrespective of the product being sold. Advertising of products such as electronic items through the radio might not increase business as the popularity of electronic items increases generally by word of mouth advertising and positive reviews in newspapers and internet sites. People might not tend to buy a particular electronic good just after hearing about it in radio.

The author's argument may be justified if a survey reveals that the majority of the people came to know about the cafe by listening to radio and that the majority of the population in every city listen to radio programs. The argument will be further strengthened if a survey reveals that radio advertisements are one of the factors which influence buying decisions irrespective of the product. The argument could be better evaluated if the results of the surveys were known.

Thus based on the reasons cited above, the argument is ill concluded and further information is needed to evaluate it effectively.