GRE Reading Comprehension
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Source: Magoosh reading easy
A coffee manufacturer wants more restaurant chains to serve its brands of coffee. The manufacturer is considering a plan to offer its coffee to large chains at a significantly lower price, at least for a certain period. This lower price initially will reduce the manufacturer's profits, but they hope to get into enough nationwide restaurant chains that their volume increases significantly. Once they have a much higher volume, even a small increase in their price would have an enormous effect on their profits.
Question List: 1
In evaluating the plan's chances of success, it would be most helpful to know which of the following?
- A Whether their discounted price is lower than the prices of the coffee manufacturers who currently provide coffee to these nationwide restaurant chains.
- B Whether the manufacturer will use the same shipping system as it has been using to ship coffee to restaurants across the country.
- C Whether the prices of some mixes of coffee will be discounted more than the prices of others.
- D Whether the coffee manufacturer will be able to cut costs associated with advertising to maintain a strong profit margin even with the lower prices.
- E Whether an alternate plan would allow the coffee manufacturer to take greater profits from the restaurant chains to which it currently provides coffee.