GMAT Essay Topic 525 - The following appeared in a memorandum from the publisher to the staff of The Clarion, a large metropolitan newspaper. "During the recent campaign for mayor, a clear majority of city readers who responded to our survey indicated a desire for more news about city government. To increase circulation, and thus our profits, we should therefore consistently devote a greater proportion of space in all editions of The Clarion to coverage of local news." Discuss how well reasoned . . . Etc.
Author: Jason | Date: November 18, 2017 | Score:5
In the memo above from the publisher to the staff of Clarion, the publisher claims that the newspaper should consistently devote a greater proportion of space in all editions of the Clarion in order to increase circulation and profit. The premise of this claim is based on the fact that in a recen...
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In the argument, the CEO reaches on a conclusion that acquiring a failing company called Futura Motors and implementing a series measures will increase profits and productivity, giving the reason that to do the acquisition will help to save Futura and also enter the market of its country. At first glance, the argument seems somewhat reasonable, however, closer scrutiny reveals that it's logically unsounded.
In the first place, the argument assumes without validation that the acquisition will help to save Futura. In fact, it is not necessarily the case. The arguer doensn't indicate the reason why Futura's business has failed. It is entirely possible that Futura's workforce is one of the important reasons that cause the failure. Keeping Futura's most workforce may result in the continued failure after the acquisition. Moreover, the market in the country Galaxia may be in bad conditions, such as insufficient purchasing power, so that none of the motor companies can attain profit there. Thus, without considering these possibilities, the argument is really open to doubt.
In the second place, the arguer commits a fallacy of false analogy. The market of the country Galaxia and that of the North America are not alalogous. Replacing Futura Motor's auto lines with Fleet Motor's bestselling models in the North American may not guarantee the good sales performance in the country Galaxia. Perhaps customers in this country have very few interest on the bestselling models of Fleet. Lacking of evidence that Fleet Motor's bestselling models will also be sold well in the country Galaxia, the arguer's notion is premature at best.
Last but not least, the arguer doesn¡¯t take into account the possible side effects of firing the entiring marketing and management team. It is entirely possible that the compensation to be paid to the marketing and management team will result in a lot of money and thus prohibit the company from gaining profits. Without weighing the advantages against disadvantages, the conclusion cannot be drawn.
Atter analyzing the reasoning line and the use of evidence, the argument will need improvement in many aspects. If the arguer could provide more evidence about the certainty that the acquisition will increase the profitability and rule out the possibilities of side effects, the argument could have been more thorough and convincing.