technology has benefited from the unique opportunity to

shape product definitions, forcing followers to adapt to a

standard or invest in an unproven alternative. Today, how-

( 5) ever, the largest payoffs may go to companies that lead in

developing integrated approaches for successful mass

production and distribution.

Producers of the Beta format for videocassette recorders

(VCR’s), for example, were first to develop the VCR com-

(10) mercially in 1975, but producers of the rival VHS (Video

Home System) format proved to be more successful at

forming strategic alliances with other producers and

distributors to manufacture and market their VCR format

Seeking to maintain exclusive control over VCR distri-

(15) bution. Beta producers were reluctant to form such alli-

ances and eventually lost ground to VHS in the compe-

tition for the global VCR market.

Despite Beta’s substantial technological head start and

the fact that VHS was neither technically better nor cheaper

(20) than Beta, developers of VHS quickly turned a slight early

lead in sales into a dominant position. Strategic alignments

with producers of prerecorded tapes reinforced the VHS

advantage. The perception among consumers that prere-

corded tapes were more available in VHS format further

(25) expanded VHS’s share of the market. By the end of the

1980’s. Beta was no longer in production.

first paragraph to the passage as a whole?

(A) It makes a general observation to be exemplified.

(B) It outlines a process to be analyzed.

(C) It poses a question to be answered.

(D) It advances an argument to be disputed.

(E) It introduces conflicting arguments to be reconciled.

100.

The best answer is A. In the first paragraph, the author presents a general observation about contemporary business; the rest of the passage narrates a specific series of recent events concerning two companies in particular. The story of these companies serves as an example that illustrates the observation being made in the first paragraph of the passage. Choices B, C and E can be eliminated because the author does not advance an argument. Although the passage does advance an argument, the author does not anticipate that the conclusions being drawn will bedisputed, so choice D is also incorrect.

The correct explanation of this part is as follows:

Choices B, C, and E can be eliminated because the author does not describe a process, pose any questions, or introduce conflicting arguments.

There are some or few errors in the soft version downloaded.