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Re: The fact that superior service can generate a competitive advantage fo

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JarvisR wrote:
Can someone please help with Q6. I thought it was A.

According to the passage, investments in service are comparable to investments in production and distribution in terms of the
(A) tangibility of the benefits that they tend to confer
(B) increased revenues that they ultimately produce
(C) basis on which they need to be weighed
>>Investments in service, like those in production and distribution, must be balanced against other types of investments on the basis of direct, tangible benefits such as
A & B answers just part of it.

cost reduction and increased revenues.
(D) insufficient analysis that managers devote to them
(E) degree of competitive advantage that they are likely to provide

Q4 :- The passage suggests that bank managers failed to consider whether or not the service improvement mentioned in lines 18-20
The bank managers did not recognize
1: the level of customer inertia in the consumer banking industry that arises from the inconvenience of switching banks.
2: it would attract new customers by producing a new standard of service that would excite customers
3: by proving difficult for competitors to copy.

(A) was too complicated to be easily described to prospective customers
(B) made a measurable change in the experiences of customers in the banks offices
>> Got tricked by this. But look at marked words. It mentions abt new customer.
(C) could be sustained if the number of customers increased significantly
(D) was an innovation that competing banks could have imitated
(E) was adequate to bring the banks general level of service to a level that was comparable with that of its competitors


According to the passage, investments in service are comparable to investments in production and distribution in terms of the
(A) tangibility of the benefits that they tend to confer
(B) increased revenues that they ultimately produce
(C) basis on which they need to be weighed
(D) insufficient analysis that managers devote to them
(E) degree of competitive advantage that they are likely to provide

OG explanation
A the author is not equating the tangible benefits the different kinds of investments reap but rather the basis on which decisions to make investments are made.
B Revenues generated from investing in service are not said to be comparable to revenue generated from investing in production and distribution.
C correct An evaluation of whether or not to make these investment must be made on the same basis.
However, i couldn't find any connotation
regarding comparison


i am not able to comprehend these convoluted explanation. Experts please help BKimball mikemcgarry carcass GMATNinjaTwo chetan2u daagh GMATNinja

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