Second, the author assumes that the addition of the swimming pool was responsible for the increase in member usage. However, the only evidence for this claim is insufficient to establish the causal claim in question. While temporal precedence is one of the conditions required to establish a causal relationship between two events, by itself it is not a sufficient condition. Consequently, it is possible that the addition of the pool was unrelated to the increase in usage in the manner required by the authors argument.
Finally, the author has provided no evidence to support the contention that Take Heart will be the only center in the area to offer a wide range of activities to its members and thus have a competitive advantage in the fitness market.
In conclusion, the authors belief that adding additional recreational facilities will increase Take Hearts membership is ill-founded. To strengthen the argument the author would have to provide evidence that member usage is reliable indicator of new membership. Additionally, it would be necessary to show that the cause of the increase in usage was the opening of the new pool.
110. The following appeared as part of a memorandum from the loan department of the Frostbite National Bank.
We should not approve the business loan application of the local group that wants to open a franchise outlet for the Kool Kone chain of ice cream parlors. Frostbite is known for its cold winters, and cold weather can mean slow ice cream sales. For example, even though Frostbite is a town of 10,000 people, it has only one ice cream spot ― the Frigid Cow. Despite the lack of competition, the Frigid Cows net revenues fell by 10 percent last winter.
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