Question

(Best​ Goods, one of the leading department store​ chains, offers goods at low prices. It recently opened many new stores across the country. After successfully setting up stores in most major​ cities, Best Goods faced substantial opposition in the city of​ Joberg, where lobbyists for smaller general stores​ (local businesses) opposed its entry. These lobbyists argued that Best Goods would put many local stores out of business and would also increase income inequality and unemployment in the city. Which of the​ following, if​ true, would strengthen the stand of the​ lobbyists?A. Retail profits grew only by two percent this year.B. Best Goods created​ 15,000 jobs in the last year.C. The level of unemployment in Joberg is low.D. The quality of goods offered at Best Goods is usually the same quality as those offered at local stores.E. Many consumers prefer to shop in local stores because they offer goods on credit.

Answer 1

Option E, which states that consumers prefer local stores because they offer goods on credit, strengthens the lobbyists' stance the most. This choice illustrates the unique value of local businesses which could be undercut by a chain like Best Goods. The preference for local credit services highlights the potential negative impact large chains can have on local economies.

Step-by-step explanation:

The question regards the impact that large department store chains, like Best Goods, might have on local economies and the opposition they face upon entering new markets. Among the options provided, option E would strengthen the lobbyists' case the most. This is because if many consumers prefer local stores because they offer goods on credit, this demonstrates a unique value that local stores provide, which cannot be replicated by a large chain store like Best Goods. Moreover, local stores' credit services contribute to their competitiveness and community relationships, which could be threatened by Best Goods' presence.

Options A and D do not specifically strengthen the lobbyists' argument against the entry of Best Goods, while B—highlighting job creation—would actually weaken their position. Option C, regarding low unemployment levels, doesn't necessarily argue for the negative impact of Best Goods, although it might suggest that the city’s economy is not in need of the jobs Best Goods may offer.

Therefore, the assertion that local consumers' preference due to credit offerings by smaller stores supports the lobbyists' argument about preserving local businesses, which in turn may help to prevent income inequality and unemployment issues subsequent to Best Goods' setup.

Answer 2

D. The quality of goods offered at Best Goods is usually the same quality as those offered at local stores.

Step-by-step explanation:

It is important to mention that the success or Failure of the lobbyist in this case would be depended on how much public support they can gathered for their cause.

If the Lobbyists can proof that The quality of goods offered at Best Goods is usually the same quality as those offered at local stores, it become more likely for them to obtain public supports. They can organized a boycott for Best Goods' products until eventually they are force to reallocate to another regions.

BUT, if the lobbyist fail to do so, Best Goods will appear as the sole providers for better products that will be seeked by local costumers. This make them gain a competitive advantage in the market and make it almost impossible for the lobbyists to gain support for the masses to leave their region.