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argument 24The following appeared in a memo from the president of Viva-Tech, a manufacturer of high-tech medical equipment.
"In order to reduce costs, we should close some of our existing small assembly plants and build a large central plant. Grandview would be an ideal location for this new plant. First, of the locations that we have considered, Grandview has the largest adult population, so that we will be able to staff our plant quickly and easily. Second, since the average wage earned by workers in Grandview is less than that in the other locations, we should be able to keep production costs low. Last, as an inducement for us to build there, Grandview's town council has offered to allow us to operate for the first three years without paying city taxes."
In the argument, the author asserts that,in order to reduce cost, Viva-Tech should build a large central plant in Grandview and shut down other small plants by listing theadvantage of setting plant in Grandview.However, the evidences cited in the argument are not persuasive enough tosupport the author's reasoning. Moreover, the false analysis of the authormakes the conclusion not so convincing.
To begin with, the large adult populationin Grandviewcannot necessarily provide enough workers for Viva-Tech. Whether the city has asatisfying employment is not mentioned. If people in Grandview are wellemployed and people are satisfied with their jobs, there is no reason for themto quit their jobs and join Viva-Tech. Otherwise, it is uncertain that whetherpeople in Grandview are skilled enough to work in Viva-tech to producehigh-tech medical equipments. If not, the population advantage does not helpViva-tech.
Secondly, the low average wage does notmean that Viva-Tech can keep its cost low in Grandview. People in Grandviewmay have a high income expectation, therefore people in Grandview will not turn to Viva-tech if itoffers the same salary as other companies. What is more, the average salary ofhigh-tech factories may not be low, for this reason Viva-tech cannot save costin workers' salary. Still, the cost of materials and transportation may be highin Grandview,these costs may exceeds the saved wages.
Thirdly, although the town council allowsViva-Tech to operate for the first three years for tax-free, what the situationwill be after 3 years cannot be predicted. A unacceptable tax may be required 3years later.
At last, all these so-called advantages arenot associated with why Viva-Tech should close its small plants and built a bigcentral one. The evidences mentioned in the argument are merely the reason why Grandview should bechosen. So to make the conclusion more credible, more reliable evidences areneeded.
In sum, the author must in the first handargue why setting small plants costs more than setting a large central plant,and then there should be more credible evidences and data of the advantage ofsetting plant in Grandview to support the author’s reasoning. |
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