111.The following appeared in a memo from the vice president of marketing
at Dura-Sock, Inc.
"A recent study of Dura-Sock wearers suggests that our company is wasting
the money it spends on its patented"Endure" manufacturing process, which
ensures that our socks are strong enough to last for two years. Dura-Sock
has always advertised its use of the "Endure" process, but the new study
shows that the average Dura-Sock customer actually purchases new
Dura-Socks every three months. Furthermore, Dura-Sock customers surveyed
in our largest market, northeastern United States cities, say that they
most value Dura-Sock's stylish appearance and availability in many colors.
These findings suggest that Dura-Sock can increase its profits by
discontinuing its use of the "Endure" manufacturing process."
The memo recommends that Dura—Sock Inc. should discount the use of its patented “Endure” manufacturing process. The conclusion is based on the following reasons by the writer: a new study shows that the average customer purchases new socks every three months, a survey taken in their largest market shows that the customers most value the appearance and colorfulness. It is reasonable at the first glance. However, it can’ convince me in many aspects.
Firstly, the survey taken in northeastern United States cities can’t represent the whole market in the country. There are economical and cultural differences in many areas. As we know northeastern cities are of high developed. People there lead a rich life mostly. As a result, people are fashionable and most focus on styles and colors of the apparel. Whereas in many other parts of the country people especially those from industrial and agricultural regions may emphasis on the quantity of the socks instead of the colorful and trendy look of the socks covered in their shoes.
Secondly, the survey doesn’t tell us the customers don’t take the quantity into account when they buy socks. The trend to think more about the fashionable look and varied colors doesn’t mean that they never consider about the quantity. As a general rule, some people seldom buy a relatively bad—made merchant, though it has a good look.
Finally, the author believes that it will help Dura—sock to make more profit if it discounts the use of “Ensure”. There are many other factors that influence the payoff of a company. Such as the advertising effect, the managing of a company, the education level of the salesman and the promoting strategies are of importance. If the arguer wants to convince us that after discounting the use of “Ensure” the company will make a profit, he has to rule out other possibilities. For example, Dura—sock has always advertised its use of “ensure”. If it stops the advertisement, maybe less people will know this brand. Thus the profit will decline as sales amount is decreasing .
In the whole, the writer tries to ignore many essential factors that may affect the result of the decision such as the terrain and cultural differences, the importance of the quantity matter and the complex matters that influence the profit. To make the argument more convincing, the arguer should show more statistical evidences to tell us that the use of “Ensure” can’t help us make money.