The argument drives a point to that the Movies Galore chain has to increase its profit and the only way to do so is by reducing the cost. However, we understand that profit is a function of two variables, one being the cost and the other being the revenue. The argument, however, focuses only on the cost aspect and completely ignores the revenue side.
In order to increase revenues, the Movies Galore chain of stores can run a special campaign or adapt to the new changes in technology to promote sales of their movie rentals. It is observed nowadays that majority of the people order movies while at home and the movies are available with the click of a button. In this age of instant gratification, the ordeal of going to the store to pick up a movie when you want to watch one seems very tedious.
This brings us to the next point of the argument that rightly states that the operating costs of the chain has to be reduced. One measure taken by the management is to reduce the closing time from 9:00 PM to 6:00 PM. However, the action has been taken with an assumption that majority of the stores customers make purchases before 6:00 PM. This assumption is likely flawed as most people are at work on most days until 6:00 PN and would want to pick up a movie on their way home and closing down of the store at that time causes a missed sale. An alternative solution would be to open the stores later in the day as most people watch movies either towards the later half of the day or over the weekends.
Reduction in timings can also be accompanied by the reduction in stock as mentioned by the arguement. However, the argument to reduce inventory of movies greater than five years should be based on detailed analysis of the purchases made by the customers. The author provides no support to the point he drives. There is a possibility that people only rent movies older than five years as they are not available at any other store. If this opposing argument is true, then the store will lose majority of its revenues and hence the profits will go further south.
In addition to the timing constraints and number of employees at the ten locations of Movies Galore, stores with least business and those that fail the profit benchmark can be closed down permanently. The inaccessibility of the store, the timings and other factors could be a reason for the non-profitability of it and could reduce the running cost significantly.
The author of the argument claims that the prices of the movies cannot be increased as it is unique to Movies Galore to offer special bargains. This point of the argument comes with an assumption that all the other stores are relatively competitive in terms of price. However, if post of the other companies that offer a similar service have increased the price due to underlying factors such as an increased licensing cost for the movies or inflation, then it is fair for Movies Galore to increase the costs. This still doesn't hurt the currently held reputation of special bargains as the stores would still provide cheaper alternatives of movie rentals.
Overall, the argument provided by the author is true to most extent in terms of reducing the operational costs but has some inherent questions that have to be answered in order to fully understand the effectiveness of the suggestion offered. That being said, the author also could have explored other options as mentioned above in order to drive profitability.
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- The following appeared in a memorandum from the owner of Movies Galore, a chain of video rental stores.“In order to reverse the recent decline in our profits, we must reduce operating expenses at Movies Galore’s ten video rental stores. Since we are f 61
Essay evaluation report
Attribute Value Ideal
Final score: 3.5 out of 6
Category: Satisfactory Excellent
No. of Grammatical Errors: 0 2
No. of Spelling Errors: 0 2
No. of Sentences: 24 15
No. of Words: 612 350
No. of Characters: 2796 1500
No. of Different Words: 264 200
Fourth Root of Number of Words: 4.974 4.7
Average Word Length: 4.569 4.6
Word Length SD: 2.533 2.4
No. of Words greater than 5 chars: 188 100
No. of Words greater than 6 chars: 127 80
No. of Words greater than 7 chars: 87 40
No. of Words greater than 8 chars: 51 20
Use of Passive Voice (%): 0 0
Avg. Sentence Length: 25.5 21.0
Sentence Length SD: 7.874 7.5
Use of Discourse Markers (%): 0.542 0.12
Sentence-Text Coherence: 0.299 0.35
Sentence-Para Coherence: 0.577 0.50
Sentence-Sentence Coherence: 0.1 0.07
Number of Paragraphs: 7 5
Grammar and spelling errors:
Line 11, column 522, Rule ID: EN_CONTRACTION_SPELLING
Message: Possible spelling mistake found
Suggestion: doesn't
...alore to increase the costs. This still doesnt hurt the currently held reputation of s...
^^^^^^
Transition Words or Phrases used:
also, but, hence, however, if, so, still, then, while, as to, in addition, such as
Attributes: Values AverageValues Percentages(Values/AverageValues)% => Comments
Performance on Part of Speech:
To be verbs : 26.0 19.6327345309 132% => OK
Auxiliary verbs: 13.0 12.9520958084 100% => OK
Conjunction : 15.0 11.1786427146 134% => OK
Relative clauses : 15.0 13.6137724551 110% => OK
Pronoun: 34.0 28.8173652695 118% => OK
Preposition: 92.0 55.5748502994 166% => OK
Nominalization: 22.0 16.3942115768 134% => OK
Performance on vocabulary words:
No of characters: 2863.0 2260.96107784 127% => OK
No of words: 607.0 441.139720559 138% => Less content wanted.
Chars per words: 4.71663920923 5.12650576532 92% => OK
Fourth root words length: 4.96360453597 4.56307096286 109% => OK
Word Length SD: 2.58391670343 2.78398813304 93% => OK
Unique words: 265.0 204.123752495 130% => OK
Unique words percentage: 0.436573311367 0.468620217663 93% => More unique words wanted or less content wanted.
syllable_count: 905.4 705.55239521 128% => OK
avg_syllables_per_word: 1.5 1.59920159681 94% => OK
A sentence (or a clause, phrase) starts by:
Pronoun: 7.0 4.96107784431 141% => OK
Article: 13.0 8.76447105788 148% => OK
Subordination: 2.0 2.70958083832 74% => OK
Conjunction: 0.0 1.67365269461 0% => OK
Preposition: 3.0 4.22255489022 71% => OK
Performance on sentences:
How many sentences: 24.0 19.7664670659 121% => OK
Sentence length: 25.0 22.8473053892 109% => OK
Sentence length SD: 43.7082340323 57.8364921388 76% => OK
Chars per sentence: 119.291666667 119.503703932 100% => OK
Words per sentence: 25.2916666667 23.324526521 108% => OK
Discourse Markers: 3.41666666667 5.70786347227 60% => More transition words/phrases wanted.
Paragraphs: 7.0 5.15768463074 136% => Less paragraphs wanted.
Language errors: 1.0 5.25449101796 19% => OK
Sentences with positive sentiment : 11.0 8.20758483034 134% => OK
Sentences with negative sentiment : 6.0 6.88822355289 87% => OK
Sentences with neutral sentiment: 7.0 4.67664670659 150% => OK
What are sentences with positive/Negative/neutral sentiment?
Coherence and Cohesion:
Essay topic to essay body coherence: 0.140619449407 0.218282227539 64% => OK
Sentence topic coherence: 0.0459655390354 0.0743258471296 62% => OK
Sentence topic coherence SD: 0.0394319182883 0.0701772020484 56% => OK
Paragraph topic coherence: 0.0780338424945 0.128457276422 61% => OK
Paragraph topic coherence SD: 0.0322697527862 0.0628817314937 51% => OK
Essay readability:
automated_readability_index: 13.4 14.3799401198 93% => Automated_readability_index is low.
flesch_reading_ease: 54.56 48.3550499002 113% => OK
smog_index: 8.8 7.1628742515 123% => OK
flesch_kincaid_grade: 11.9 12.197005988 98% => OK
coleman_liau_index: 10.39 12.5979740519 82% => OK
dale_chall_readability_score: 7.97 8.32208582834 96% => OK
difficult_words: 119.0 98.500998004 121% => OK
linsear_write_formula: 10.5 12.3882235529 85% => OK
gunning_fog: 12.0 11.1389221557 108% => OK
text_standard: 12.0 11.9071856287 101% => OK
What are above readability scores?
---------------------
Write the essay in 30 minutes.
Maximum six paragraphs wanted.
Rates: 62.5 out of 100
Scores by essay e-grader: 3.75 Out of 6
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Note: the e-grader does NOT examine the meaning of words and ideas. VIP users will receive further evaluations by advanced module of e-grader and human graders.