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OG-83
#83) Sales of telephones have increased dramatically over the last year. In order to take advantage of this increase, Mammoth Industries plans to expand production of its own model of telephone, while continuing its already very extensive advertising of this product.
Which of the following, if true, provides most support for the view that Mammoth Industries cannot increase its sales of telephones by adopting the plan outlined above?
C) Advertising has made the brand name of Mammoth Industries’ telephones widely known, but few consumers know that Mammoth Industries owns this brand.
E) Despite a slight decline in the retail price, sales of Mammoth Industries’ telephones have fallen in the last year.
I'm confused on choice E. Why E) weakens Mammoth Industries' plan? |
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