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192) The following appeared in a memorandum from the new president of the Patriot car
manufacturing company.
"In the past, the body styles of Patriot cars have been old-fashioned, and our cars have
not sold as well as have our competitors' cars. But now, since many regions in this
country report rapid increases in the numbers of newly licensed drivers, we should be
able to increase our share of the market by selling cars to this growing population. Thus,
we should discontinue our oldest models and concentrate instead on manufacturing
sporty cars. We can also improve the success of our marketing campaigns by switching
our advertising to the Youth Advertising agency, which has successfully promoted the
country's leading soft drink."
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193) The following appeared in a memorandum from the owner of Armchair Video, a
chain of video rental stores
"Because of declining profits, we must reduce operating expenses at Armchair Video's
ten video rental stores. Raising prices is not a good option, since we are famous for our
special bargains. Instead, we should reduce our operating hours. Last month our store in
downtown Marston reduced its hours by closing at 6:00 P.M. rather than 9:00 P.M. and
reduced its overall inventory by no longer stocking any film released more than two
years ago. Since we have received very few customer complaints about these new
policies, we should now adopt them at all other Armchair Video stores as our best
strategies for improving profits."
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194) In each city in the region of Treehaven, the majority of the money spent on
government-run public school education comes from taxes that each city government
collects. The region's cities differ, however, in the value they place on public education.
For example, Parson City typically budgets twice as much money per year as Blue City
does for its public schools—even though both cities have about the same number of
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