The following was presented as part of a business plan by Apex Corporation.
"To answer the increased demand for artisan coffee, Apex Corporation is releasing a new line of coffee, "Gourmet Select." Apex Corporation will first introduce the coffee into major supermarkets, where it hopes word-of-mouth advertising will sustain sales. After a few months Apex Corp. will run an advertising campaign aimed at television and radio while simultaneously releasing the brand to several major chain restaurants. Based on this strategy, Apex Corporation hopes to make "Gourmet Select" one of the top sellers in the coffee market."
Write a response in which you examine the stated and/or unstated assumptions of the argument. Be sure to explain how the argument depends on these assumptions and what the implications are for the argument if the assumptions prove unwarranted.
In this argument, business plan of Apex Corporation has been introduced that to fulfill the emerging demand of coffee, the firm will introduce new flavor that will initiate its sales from major supermarkets to which they will not put forward any advertising strategy. Afterwards,they will start advertising on television and radio along with the expansion of product to several major chain restaurants. This long term strategy will finally make the "Gourmet Select" as one of most famous coffee brand. On surface level, the plan seems fruitful and effective, yet a deeper scrutiny presents various loopholes that tend to make this plan flimsy and spurious.
First of all, Apex Corporation is being over-predictive regarding the response of their new product by the people; as they considered that the introduction of their product will be liked by the public at initial stage and then that will lead to further process. But what if people won't admire its flavor; they have not planned any subsidiary plan as what will they opt for if first response of public towards this coffee is not considerable, this will lead to halt in the further process. Thus they are being over-enthusiastic about their strategy and failed to consider the other side of picture. This complete system lacks being sturdy in the absence of enough consideration to all related factors.
Secondly, Apex Corporation has ignored the market condition in which they are not having monopoly over the market and if the demand of coffee sees an upsurge trend that will make other companies too work for the production of new products. One can't refute the possibility that other firms might be making changes in their existing products that requires less financial burden and a few changes in their ingredient stock; while APEX Corporation is working on a complete new venture that involves ample investment. Thus, this might disturb their on-going process and has so much risk factor. In such a scenario, they have to face economic burden.
Last but not the least, Apex corporation is wrong while making this deduction that having coffee in the super markets will definitely lead to increase in the acclaim of their new brand. They have ignored to assess how much percent of population is visiting super markets and that will give a clear picture of the upcoming sales. If there is one lac population in the city and only 2 percent of those visit the super markets then that won't assure the new coffee will be termed as the best one in coming future as a larger strata has remained subsided to consume or to taste the new flavor. Had clear figures be provided about consumer ratio, the result would have been much accurate.
To conclude, the authorities of Apex Corporation have made a dubious perception about market situation and concocted a plan that is not feasible for the healthy being of their firm. Had the framed hypothesis be based on certain sturdy facts-figures and vision, the conclusion would have been more valid and reliable.
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condition 1:
To answer the increased demand for artisan coffee, Apex Corporation is releasing a new line of coffee, "Gourmet Select." Apex Corporation will first introduce the coffee into major supermarkets, where it hopes word-of-mouth advertising will sustain sales. //your argument 1
condition 2:
After a few months Apex Corp. will run an advertising campaign aimed at television and radio while simultaneously releasing the brand to several major chain restaurants. //your argument 3 but not exactly
conclusion:
Based on this strategy, Apex Corporation hopes to make "Gourmet Select" one of the top sellers in the coffee market. ////your argument 2 but not exactly
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