The following appeared in a memorandum from the owner of Carlo’s Clothing to the staff:
“Since Disc Depot, the music store on the next block, began a new radio advertising campaign last year, its business has grown dramatically, as evidenced by the large increase in foot traffic into the store. While the Disc Depot’s owners have apparently become wealthy enough to retire, profits at Carlo’s Clothing have remained stagnant for the past three years. In order to boost our sales and profits, we should therefore switch from newspaper advertising to frequent radio advertisements like those for Disc Depot.”
Discuss how well reasoned you find this argument. In your discussion be sure to analyze the line of reasoning and the use of evidence in the argument. For example, you may need to consider what questionable assumptions underlie the thinking and what alternative explanations or counterexamples might weaken the conclusion. You can also discuss what sort of evidence would strengthen or refute the argument, what changes in the argument would make it more logically sound, and what, if anything, would help you better evaluate its conclusion.
The owner of Carlo’s Clothing, like the owners of Disc Depot, wants his business to grow. However, he does not understand the differences between the stores, and this lack of understanding is preventing him from capitalizing on an opportunity for growth. Carlo’s Clothing specializes in the sale of clothing, while Disc Depot sells CDs. While the owner of Carlo’s Clothing may be thinking that selling CDs is something he no longer needs to do, the truth is that CDs are still in demand, and if people are willing to walk across the street to purchase them, then it may be that the owner should reconsider his advertising strategy. In addition, he must recognize that his store is competing with numerous other clothing stores in the area, so he must look for ways to differentiate himself. The format of advertising that Disc Depot uses, with its catchy jingles, is likely helping it to attract new customers. While advertising in the local paper, on the other hand, may be drawing customers from other areas of town. Furthermore, the owner of Carlo’s Clothing must realize that the price is a factor that many people consider when making a purchase. Since Disc Depot has a much lower price point than Carlo’s Clothing, a potential customer may simply go to the store with the cheapest price in order to save a few dollars
Disc Depot probably has better quality items than Carlo’s Clothing. Disc Depot probably has better music, too. It may even be true that Disc Depot has become a destination in its own right, a place where shoppers can gather to enjoy music with their friends. However, if the owner of Carlo’s Clothing is relying on the assumption that Disc Depot customers will also walk through his doors, he is likely mistaken. Disc Depot customers probably already frequent his store, so there is little point in advertising there. Furthermore, while his store may not have as high a price tag as Disc Depot, it can still offer quality products. Thus, a good advertising campaign could help to attract customers who normally would not visit Carlo’s Clothing
In order to attract new customers, the owner of Carlo’s Clothing may want to consider advertising on radio. While the music store may not be in the same format as a clothing store, it is likely that there is a large audience for radio, and the owners of Disc Depot will certainly listen to this advertising. In addition, Radio Shack, where Disc Depot also advertises, is a competitor. However, Radio Shack also sells CDs, and the owner of Carlo’s Clothing may believe that his customers will purchase CDs at Radio Shack and then decide to stop in at his store, but it is unlikely that this will be the case. The owner of Carlo’s Clothing probably knows that his store offers better prices, and while Radio Shack may have better prices, customers already know that, and they will not be swayed by an advertisement for Disc Depot. In addition, Radio Shack may have a limited selection of CDs, whereas Carlo’s Clothing is likely to have many to choose from
Radio advertising may be a good choice for the owners of Disc Depot, but the owners of Carlo’s Clothing would be wise to avoid it.