The recent upheaval in the office-equipment retail business , in which many small firms have gone out of business, has been attributed to the advent of office equipment "superstores" whose high sales volume keeps their prices low. This analysis is flawed, however, since even today the supermstores control a very small share of the retail market. which of the following, if true, would most weaken the argument that the analysis is flawed?
A. Most of the larger customers for office equipment purchase under contract directly from manufacturers and thus do not participate in the retail market
B The superstores' heavy advertising of their low prices has forced prices down throughout the retail market for office supplies
which would you choose?why?
Thax.
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