GRE ARGUMENT ESSAY-4

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Argument:
The following appeared in a memorandum issued by the strategic planning department at Omni Inc.

"Mesa Foods, a manufacturer of snack foods that currently markets its products within a relatively small region of the country, has a strong growth potential. Mesa enjoyed a 20 percent increase in profits last year, and its best-selling product, Diabolique Salsa, has had increased sales over each of the past three years. Since Omni Inc. is interested in reaching 14-to-25 year olds, the age group that consumes the most snack food, we should buy Mesa Foods, and concentrate in particular on marketing Diabolique Salsa throughout the country."

Essay
The given argument arrives at the conclusion that buying Mesa Foods is a good strategic plan for Omni Inc. as Omni Inc. is interested in reaching the age group that consumes snack food the most and Mesa Foods has a strong growth potential in this field. The conclusion seems apt in the light of the fact that Mesa Foods does have the scope for growth in countrywide distribution as well. However, on analyzing the given argument from all perspectives, one can identify various loopholes and flaws that make this argument weak. These flaws are a result of vague assumptions and facts that have been presented as evidence in support of the claim made by the argument.

The backbone of the given argument is that Mesa Foods is a manufacturer of snack foods and it has a strong growth potential and this is the main reason why Omni Inc. is interested in buying it so that they can market Mesa Foods� Diabolique Salsa throughout the country. A crucial aspect of this strategic plan is that Mesa Foods currently markets its products within a relatively smaller region of the country. This fact would seem insignificant to a reader who reads the argument for the first time, but on closer analysis this fact emerges as the weakest link in the argument. The existence of this fact is making the assumption that buying Mesa Foods and concentrating on marketing Diabolique Salsa throughout the country would be a correct decision for Omni Inc., seem illogical. The reasons for this have been brought out in the succeeding paragraphs.

Firstly, Mesa Foods has a strong growth potential and the fact that it enjoyed an increase in profits last year may be due to the reason that it operates in a relatively smaller region of the country. As the region is small, Mesa Foods probably enjoys monopoly in its field due to lack of competition in the form of other companies marketing the same kind of products in that region. Secondly, one cannot fathom whether Diabolique Salsa will be accepted by people across the country or not. There may be snack food giants who have been marketing their snack foods in the remaining parts of the country and the age group that is being targeted by Omni Inc. would already be used to having a different brand of snack food. Diabolique Salsa will have to break that market in order to establish a foothold in the countrywide sales.

Thirdly, the increase in overall profit for Mesa Foods and also the sales of Diabolique Salsa will take a new dimension once the product is launched throughout the country. The competition offered by other companies marketing the same type of snack foods across the country may reduce the profit margins incurred by the sales of Diabolique Salsa as compared to when it was being marketed in a smaller region. Also, there is a probability of reduction of profit margins because there will be an increase in the distribution cost as the product now has to be sent to all corners of the country as compared to the earlier scenario when it was being distributed within a smaller region.

In view of the above, it can be said that the conclusion presented in the argument sounds unconvincing due to lack of substantial evidence as the plan of buying Mesa Foods may not be as profitable as it apparently seems to be. The mention of additional evidence in the form of existing status of different brands of snack foods being marketed across the country would have aided in establishing the conclusion of the argument with certainty. In its present form, the conclusion presented by the argument fails to appear acceptable due to lack of credible evidence.

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