▶ Your Answer :
According to the article, the
author claims that Bargain Brand needs to expand its business and start marketing
other low price food. However, there are couple of questionable assumptions the
author has made.
First of all, the author mentions that
top brands have lost many customers as soon as they have released their first
product. According to the lines of his/her reasoning, people liked the product
and that is why people chose to use their product. However, is it really enough
time to consider the company has loyal customers? The author overlooks that when
there is a brand new product, many people tend to have a first trial and decide
continue to use it or not. As a result, the author’s assertion that they drew
many customers away from top companies is seriously doubtful.
Secondly,
the author maintains that, as a respond, top brand tried to lower the price so
they can compete with low price cereal. However, the author’s presumption might
be faulty. Is lowering the price for their product because of competitors or because
of other facts? Top companies might have had just a short term discount events
for their loyal customers. Also they might just have lowered the price as they
sell more, they can earn more money. Therefore, the reasoning author argues is
questionable and needs more explanations to be persuasive.
Lastly,
the author believes that Bargain Brand needs to expand their business as they
were successful in selling cereal. However, the author’s reasoning can bring
about a troublesome result in the future. The author assumes that a reason they
were able to succeed is due to the low price they provided. Does this really a
single reason to expand a business? The firm might need to predict as many things
as possible. For example, they need to know why customers liked low price, how
much they care about healthy food, and what flavor they like the most. However,
the author does not mention any specific reasons why they need to expand the business.
Such a premature decision might cause a business bankrupt.
In
conclusion, although the author’s purpose might be good, more detailed
examination is necessary for the company. To solidify the article, the author
should elaborate why customers, who favored other brands for a while, suddenly
started to use the low priced food, explain why top brand tries to compete with
a starting company, and evaluate why the company need to expand the business in
detail. |