Second, a central assumption of the report is that knowledge of the properties of metals is necessary for planning in purchasing metals. No evidence is stated in the report to support this crucial assumption. Moreover, it is not obvious that such knowledge would be required to perform this task. Since planning is essentially a logistical function, it is doubtful that in-depth knowledge of the properties of metals would be helpful in accomplishing this task.
In conclusion, this is a weak argument. To strengthen the recommendation that the manager of the purchasing department be replaced, the author would have to demonstrate that the falling revenues were a result of the delays in manufacturing. Additionally, the author would have to show that knowledge of the properties of metals is a prerequisite for planning in purchasing metals.
5. A newspaper publisher is recommending that the price of its paper, The Mercury, be reduced below the price of a competing newspaper, The Bugle. This recommendation responds to a severe decline in circulation of The Mercury during the 5-year period following the introduction of The Bugle. The publishers line of reasoning is that lowering the price of The Mercury will increase its readership, thereby increasing profits because a wider readership attracts more advertisers. This line of reasoning is problematic in two critical respects.
While it is clear that increased circulation would make the paper more attractive to potential advertisers, it is not obvious that lowering the subscription price is the most effective way to gain new readers. The publisher assumes that price is the only factor that caused the decline in readership. But no evidence is given to support this claim. Moreover, given that The Mercury was the established local paper, it is unlikely that such a mass exodus of its readers would be explained by subscription price alone.
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