GRE argument essay: Topic 2

[Konstantin]

Hello!
Question:
The following appeared in a newsletter offering advice to investors.

"Over 80 percent of the respondents to a recent survey indicated a desire to reduce their intake of foods containing fats and cholesterol, and today low-fat products abound in many food stores. Since many of the food products currently marketed by Old Dairy Industries are high in fat and cholesterol, the company's sales are likely to diminish greatly and their profits will no doubt decrease. We therefore advise Old Dairy stockholders to sell their shares and other investors not to purchase stock in this company."
Answer:
Citing an ambiguous survey and slump of low-fat products at stores the writer concludes that the revenue of Old Dairy Industries will be diminishing and the firm will soon collapse. So stockholders should sell their shares as soon as possible. However, the writer’s argument relies on a series of unproven assumptions and is therefore unconvincing as it stands.

At first, the writer of the statement refers to the survey, showing that over 80 percent of the respondents would prefer to diminish their intake of food with fats and cholesterol. Unfortunately, he doesn’t prove that the survey is reliable; I know nothing about the methods of this interrogation, its scale and characteristics of the respondents. As a result, I could not rely on it before the author proves that the outcomes of the survey are appropriate for the entire population.

Secondly, the presence of low-fat products in food stores does not mean that conventional products have become obsolete and are not in requisition. Perhaps, there is the same amount of low-fat products now as it was years ago. Even if there are a lot of them, it is impossible to say that the selling of foods with fats and cholesterol are declining, particularly products of Old Dairy Industries. Or perhaps, people prefer some low-fat goods because of their perfect taste, not their salutary characteristics. I would need to know how the sales of conventional products are changed in absolute value and in comparison with their low-fat counterparts.

Finally, the reduction of certain products’ sales might not cause the collapse of Old Diary Industries. It is entirely possible that high-fat products form only a small part of its overall production. The part could be so small, despite on the diversity of products, that changes in the purchase requirement will not affect the firm at all. Before I can accept that the income of the firm depends greatly on this merchandise, the author of the passage would need to supply clear proof that they are the basis of Old Dairy Industries’ well-being.

In sum, even if the consumption of high –fat products decreases, Old Dairy Industries could remain a stable company and the decision to sell shares would be premature. As the result, I find the argument unconvincing at best.