Personal Devices Inc. is a manufacturer of premium cell phones. Most of the company's handsets are equipped with high-end features such as large internal memory, sophisticated texting, camera and music functionalities, and data transfer capabilities. The company is planning to enter the Indian market. One of the senior managers argues that a stripped-down, low-priced model without any extras could be the starting point. The company can sell additional features added to the base model at higher price points. Which of the following, if true, would most strengthen the senior manager's argument?

Question

Quizplus · Accepted Answer

The fact that the majority of India's consumer market is located at the bottom of the pyramid supports the senior manager's argument that a stripped-down, low-priced model could be the starting point. This would allow the company to offer a product at a price point that is accessible to a larger segment of the market. Option A is irrelevant as it doesn't support or weaken the argument. Option C weakens the argument by saying that few competitors offer basic cell phones. Option D is irrelevant as it talks about charges of dumping. Option E is also irrelevant as it talks about different companies catering to different market segments.