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Analytical Ability

185. As part of a plan to overhaul a car company's lagging sales due to its image as environmentally irresponsible, consultants recently proposed the release of a new car line. The new line of small, high-mileage and hybrid vehicles would appeal to a set of consumers who would never have previously considered buying from the company. In that way, the company could easily retain the market for its traditional vehicles while tapping into a new market niche and expanding its revenue base.

Which of the following, if true, would most strongly support the consultants' proposal?

(a) The majority of cars currently manufactured by the company are large and are not known for their fuel efficiency.
(b) A reliable survey of the company's previous customers showed that most of them would more strongly consider buying from the company again if it offered hybrid vehicles.
(c) Car sales for all companies have lagged in the last two years, but are expected to increase in the next six months.
(d) A new focus on small, high-mileage, and hybrid vehicles would require research and development investment greater than the company's CEO has made in his tenure to date.

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Detailed Solution

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