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Re: To attract some customers from its competitors

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To attract some customers from its competitors, a certain carpet cleaning company plans to reduce its prices on carpet and upholstery cleaning. The company’s manager believes that if their services are cheaper than those of their competitors many people will use services of their company instead of its business rivals’.

Which of the following statements, if true, most undermines the manager’s reasoning?
(A)Many people are not willing to pay to have their carpets professionally cleaned.
-Ok Many people are not willing to pay to have their carpets professionally cleaned but what about those who are willing to pay. No info. Incorrect
(B)Current fees of the company are already lower than those of its business rivals
- If prices are already below its rivals' prices n still the company is still struggling , how can the company get new customers with further price reduction. Correct
(C)People who are already loyal customers of the company have never used the services of other carpet cleaning companies.
- Ok,few customers are loyal but what about other customers who are not loyal. Will they come coz of price reduction? No info. Incorrect
(D)More people hire carpet cleaning companies to take care of their houses now than two years ago. OFS. Incorrect
(E)For many customers, price is not the major criterion for selecting a carpet cleaning company.
- Price is not a MAJOR criterion but still it's a factor that will play a role in selecting services. But we don't extent of impact of new prices. Incorrect

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