Flawed ReasoningDiff: Medium

Logic Breakdown

Passage Summary: Big stores have lower prices, which is tough for small stores. Small stores can keep their customers by being extra helpful instead of lowering prices, so the author thinks they have to be extra helpful to stay in business.

Conclusion: Small retailers must provide exceptional service to maintain their profitability when competing with large chains.

Reasoning: Matching the low prices of large chains reduces profit margins, but offering great service allows small stores to keep customers without lowering prices.

Analysis: The author identifies a helpful strategy—exceptional service—and mistakenly concludes it is the only possible path to survival. It’s a bit like saying that because a umbrella keeps you dry in the rain, you must carry an umbrella to stay dry, ignoring the possibility of wearing a raincoat or just staying inside. The flaw lies in treating a sufficient condition for retaining customers as a necessary one. Look for an answer that points out other ways a small business might maintain its profit levels.

Passage Stimulus

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5.

The reasoning is flawed because it fails to take into account the possibility that

Correct Answer
E
E shows that customers may prefer small stores for reasons other than exceptional service. If other reasons can retain customers without cutting prices, then exceptional service is not necessary, undermining the conclusion’s “must.”
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