medium · GMAT Verbal

Corporate Analyst: **To increase our market share, we must either lower our prices or improve our product's quality.** We cannot afford to lower our prices because our production costs are too high. Therefore, **we have no choice but to focus on improving our product's quality**.

The two portions in boldface play which of the following roles?

  1. The first is a premise establishing two options; the second is the main conclusion reached by eliminating one of them.
  2. The first is a background fact; the second is a premise the analyst initially endorses but eventually goes on to refute.
  3. The first is an intermediate conclusion derived from the cost premise; the second is the argument's overall main conclusion.
  4. Both portions are conclusions, each one independently supported by the premise about the company's high production costs.
  5. The first is the analyst's own main conclusion; the second is a supporting premise offered to justify it.

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