Question

Directions: Read the passage given below and select the assumption(s) that hold true based on the facts in the passage.

One of the greatest advantages a company has over its competitors is the system of distribution and product support, i.e. the dealer network. Dealers play a vital role in helping a company build and maintain close relationships with customers and gain insights into how they can improve their products and services to fulfil customer needs. And a company can achieve customer loyalty through dealer loyalty. Therefore, it must make efforts to build their competence for more effective performance. Dealers who are long established members of a company can get close to customers, but to tap the full potential of such dealers, a company must forge extremely close ties with them and integrate them into its critical business system. When treated this way dealers can serve as a source of market intelligence, as proxies for customers, and as consultants. Although these investments take the usual form of money, it also includes softer aspects such as training and development.

Assumption: The company should insist on dealer loyalty to the extent that the dealer will not sell similar products of any other company.

1. If the assumption is definitely true
2. If the assumption is probably true
3.

If the assumption is probably false

4.

If the assumption is definitely false

5.

If the data are inadequate

Answer 1

Correct Answer - Option 5 :

If the data are inadequate

Correct option – 5

As we see the passage, it talks about the relationship of dealers with company and customers. The assumption is about criteria and what the criteria to choose a loyal dealer are can't be assumed from the given passage.

Hence, Data are inadequate.