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Increasing efficiency at Olympic FoodsCiting facts drawn from the color-film prcessing industry that indicate a downward trend in the costs of film processing over a 14-year period ,the author argue that Olympic Food will likewise be able to minimize costs and thus maximize profits in the future.In support of this conclusion the anthor cites the general principle that”as organizations learn how to do things better,they become more efficient”The principle,coupled with the fact that Olympic Foods has had 25 years of experience in the food prcessing industry leads to the authors rosy prediction.This argument is unconvincing because it suffers from two critical flaws.First,the authors forecast of minimal costs and maximum profits rests on the gratuitous assumption that Olympic Foods”long experience”has taught it how to do things betters.There is ,however,no guarantee that this is the case,nor does the anthor cite any evidence to support this assumptions.Just as likely,Olympic Foods has learned nothing from its 25 years in the food-processing business.Lacking this assumption,the expectation of increased efficiency is entirely unfounded,Second,it is highly doubtful that the fact drawn from the color-film prcessing industy are applicable to the food precessing industry.Differences between the two industries clearly outweigh the similarities,thus making the analogy highly suspect.For example,problems of spoilage,contamination,and timely transportation all affect the food industry but are virtually abusent in the film-processing industry.Problems such as these might present insurmountable obstacles that prevent loweing food-precessing costs in the future.As it stands the authors argument is not compelling.To strengthern the conclusion that Olympic Food will enjoy minimal costs and maximum profits in the future,the author would have to provide evidence that the company has learned how to do things better as a result of its 25 years of experience,Supporting examples drawn from industied more similar to the food-processing industry would futher substantiate the authors view. Centralization and profitabilityIn this argument the auther concludes that the Apogee Company should close down field offices and conduct all its operations from a single ,centralized location because the company had been more profitable in the past when all its operations were in one location.For a couple of reasons,this argument is not very convincing.First,the author assumes that centralization would improve profitability by cutting costs and streamlining supervision of emplouees.This assumption is never supported with any data or projections.Moreover,the assumption fails to take into account cost increases and inefficiency that could result from centralization.For instance,company representatives would have to travel to do business in areas formerly served by a field office,creating travel costs and loss of critical time.In short,this assumption must be supported with a thorough cost-benefit analysis of centralization versus other possible cost-cutting and/or profit-enhancing strategies.Second,the only reason offered by the author is the claim that Apogee was more profitable when it had operated from a single,centralized location.But is centralized location.But is centralization the only differdence relecant to greater past profitability?It is entirely possible that management has become lax regarding any number of factors that can affect the bottom line such as inferior products,careless product pricing,inefficicent production,poor employee expense account monitoring,ineffective advertising,sloppy buying policies and other waseful spending.Unless the author can rule out other factors relecant to diminishing profits,this argument commits the fallacy of assuming that just because one event (decreasing profits)follows another(decentralization),the second event has been cause by the first.Inconclusion,this is a week argument.To strengthen the conclusion that Apogee should close filed offices and centralize,this author must provide a thorough cost-benefit analysis of available alternatives and rule out factor other than decentralization that might be affecting current profits negatively.(17:29)Art funding and public televisionIn the argument the author concludes that the city should allocate some of its arts funding to public television.The conclusion is based on two facts:(1)attedndance at the citys art museum has increased proportionally with the increases in visual-arts program viewing on public television,and (2)public television is being threatened by severe cuts in corporate funding.While this argument is somewhat conbincing,a few concerns need to be addressed.To gegin with,the argument depends on the assumption that increased exposure to the visual arts on television,mainly public television,has caused a similar increase in local art-musum attendance.However,just because increased art-musum attendance can be statistically correlated with similar increases in television viewing of visual-arts programs,this does not necessarily mean that the increased television viewing of arts is the cause of the rise in museum attendance.Moreover,perhaps thee are other factors relecant to increased interest in the local art museum;for instance,maybe a new director had procured more interesting,exciting acquisitions and exhibits during the period when museum attendance increased.In addition,the author could be overlooking a common cause of both increases.It is possible that some larger social or cultural phenomenon is resoonsible for greater public interest in both television arts programm
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