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dhlee922
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cr 4th edition ch. 4 #10 - movie money - find the assumption

by dhlee922 Thu Feb 21, 2013 8:52 pm

p. 72, #10

Studio executives carefully examine how a film performs on its opening weekend in order to determine whether - and how - to invest more in that film. Many decisions, such as increasing the number of screens that show the film and expanding the marketing campaign, are best made after reactions can be gathered from audiences who actually purchased tickets. Therefore, to maximize returns on their marketing investments, studios should initially release all their films on a small number of screens and with a limited advertising campaign.

The plan to maximize returns by initially releasing films on only a small number of screens and limiting advertising depends upon which of the following assumptions?

A. Large marketing investments made before the opening weekend never eventually yield greater profits than small initial marketing investments.

B. New advertising techniques, such as web-based viral marketing, have not substantially reduced the average marketing costs for films.

C. A film's prior performance in noncommercial settings, such as festivals, is not well correlated with how the general public tends to react to that film.

D. Across the movie industry, marketing investments do not influence the eventual financial returns of films in predictable ways.

E. How a film performs during its opening weekend is a strong indicator of the film's financial performance over its lifetime.


So initially i was stuck between A and D. I eventually chose D b/c A has the word Never, which is extreme, and in a previous chapter, i read that extreme words can be in the answer if the same extreme word is in the argument, i believe that is stated in chapter 3.

I do understand how the LEN works for answer choice A, but you could also argue that LEN works for choice D as well.

Could someone provide a little further explanation why A should be chosen over D?

thank you
dhlee922
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Re: cr 4th edition ch. 4 #10 - movie money - find the assumption

by dhlee922 Tue Feb 26, 2013 6:18 pm

bump, could anyone advise?
dhlee922
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Re: cr 4th edition ch. 4 #10 - movie money - find the assumption

by dhlee922 Mon Mar 04, 2013 10:08 pm

bump. anyone have any insight? students or teachers?
RonPurewal
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Re: cr 4th edition ch. 4 #10 - movie money - find the assumption

by RonPurewal Sat Mar 09, 2013 10:29 pm

hi,
this is the wrong folder for this question; please re-post the question in the "MGMAT non-CAT verbal" folder. thanks.

by the way, your "bumping" the thread is the main reason why it's taken so long to get to this point.
we answer posts strictly in order from oldest to newest -- so, if you "bump" a thread, you are moving that thread to LAST place in line.

thanks.