Within a short span of time, Limo captured 30% market share in China, which was 200% higher than expected. Indian customers who had looked forward to purchasing Limo were becoming increasingly unhappy due to the non-availability of Limo in India. Ginger’s dealers were worried about loss of business from the customers who might switch to other cars.
Which of the following conclusions can be most justifiably made?
Statement I: In the Chinese market, Baft and Hebe, are competing models in Limo’s target market. Due to increase in sales of Limo by 200%, Baft and Hebe saw their market share decline by 10%.
Statement II: Baft and Hebe were not desired by the customers due to their new features.
Statement I: In the Chinese market, Baft and Hebe, are competing models in Limo’s target market. Due to increase in sales of Limo by 200%, Baft and Hebe saw their market share decline by 10%.
Statement II: Baft and Hebe were not desired by the customers due to their new features.
Show Hint
- Check whether the conclusion introduces new information not in the passage.
- I alone
- II alone
- Either I or II
- Neither I nor II
- I and II together
The Correct Option is D
Solution and Explanation
Step 2: Statement II assumes customers did not desire Baft and Hebe due to their new features. No evidence about customer preference or features is provided. Hence, this is speculative.
Step 3: Since both statements go beyond the data, neither can be justifiably concluded.
Thus, the correct answer is (D).
Unhappy customers will not only leave the company, but also spread negative publicity about the company. The best way, among the options below, to deal with customers is
Show Hint
- Offering substitutes with incentives helps retain customers quickly.
- suggest to customers to wait.
- suggest to customers to consider purchasing any of the other PAC’s models available in showrooms, with a substantial discount along with gifts.
- suggest to PAC to treat Indian and Chinese markets equally.
- promise the top management of PAC higher sales/profit from Indian market compared to Chinese market.
- suggest to the top management of PAC to manufacture essential components in either India or China.
The Correct Option is B
Solution and Explanation
Step 2: The best way is to redirect customers to existing models with discounts and incentives, thereby retaining them and reducing negative publicity.
Hence, the correct option is (B).
Mr. Murugan from Chennai experienced the comfort of Limo during his visit to China. He was willing to deposit an approximate price of Limo to buy the first available unit from Mr. Ahmed, a dealer in Chennai, known for fair dealing. Ginger Automobile is yet to announce the actual price, and the process for allocation of the vehicles. In order to maximise his cash flow, Mr. Ahmed should
Show Hint
- Always combine cash-flow maximization with clear communication to avoid disputes later.
- collect the amount from Mr. Murugan. Later when the delivery is delayed, blame it on PAC’s problems.
- collect 50% as advance and the remaining 50% after the confirmation of launch date by Ginger Automobiles.
- collect the amount Mr. Murugan is willing to deposit after clarifying that delivery is subject to the company policy.
- not collect the amount, but suggest to Mr. Murugan to write to Ginger Automobiles.
- collect the amount and transfer it to the account of Ginger Automobiles, instead of keeping it in his personal account.
The Correct Option is C
Solution and Explanation
Step 2: The best balance is to collect the full deposit, but clarify that delivery is bound by company policy. This keeps customer trust intact while giving Ahmed maximum liquidity.
Hence, the correct answer is (C).
Top Questions on Caselets
Mr. Zubin Mistry is the owner and the chief editor of the newspaper The Pluralist, renowned for its high reporting standards and outstanding writing quality. The Pluralist’s authentic reporting distinguishes it from other newspapers that sensationalize news. They are responsible employers, known to be highly supportive towards their employees. Its news editing team is led by Ms. Ramya Kattabomman, a respected veteran in the newspaper reporting industry, wellknown for her stringent adherence to the ethical standards of newspaper reporting.
Mr. Aditya Swaroop Verma, an award-winning senior journalist, has brought in an exposé into the activities of a mining company, operating in an ecologically vulnerable area. In his hardhitting reporting style, he has presented interviews with tens of people, delineating how the mining company has used illegal means to start mining in that area. These mining activities may lead to the destruction of the local ecological balance. However, Aditya Swaroop is unable to obtain an interview with the management of the mining company.
Aditya Swaroop’s investigative report article offers signi cant revelations about the alleged illegal activities of the mining company which were hardly covered in the media otherwise. Nevertheless, his sources have requested for complete anonymityNed Flanders and Homer Simpson Partners Limited is a law rm, known for its unwavering commitment to client satisfaction. They treat the clients as family members who have grown along with the rm. Further, they are highly regarded in the industry, consulted by the country’s top organizations. Among the founders, Homer Simpson is amboyant, while Ned Flanders is serious. Together, they bring a dynamic balance to the team.
The organization believes in a strong socialization ritual that bonds the new lawyers (newcomers) with the existing members. Also, the socialization ritual ensures that newcomers fully understand the nature of their work and integrate seamlessly into the company’s culture. During their rst week, newcomers are overloaded with a barrage of artificial tasks, unexpected client calls, and a challenging meeting with the founders. This results in newcomers getting overwhelmed, and doubting their decision to join the rm, only for the founders to meet them and reveal that this is one big prank and a way to welcome them to the organization. This socialization ritual has served them well for the past two decades. However, not all the newcomers appreciate the utility of this ritual.
One of the lawyers, Ms. Lisa Simpleton, who joined in 2023 and went through the same socialization ritual, found it unwelcoming. She believes that other newcomers might also share the same opinion. Lisa thinks that the current generation, especially post-COVID, needs more friendly welcome, and the rm must put an end to this ritual.- Read the following scenario and answer the questions that follow.
Mr. Singh lived in a sprawling housing society. He employed two part-time domestic helps, Vimla and Sharda. Vimla was responsible for cleaning and dusting, while Sharda took care of cooking.
Once Sharda fell ill and consequently took leave for three days. When Sharda returned to work, she learned that Mr. Singh’s gold ring, a gift from his mother, was missing. Suspecting theft, Mr. Singh had terminated Vimla. Mr. Singh asked Sharda to take additional responsibility of cleaning the house, along with an offer to double her salary. Sharda accepted the offer as her previous two jobs were lost due to frequent health-related absences. She was struggling to make ends meet; this offer would go a long way to help her.
Next day, while cleaning under the dressing table, Sharda found the gold ring. Overjoyed, Mr. Singh expressed his gratitude by presenting Sharda a reward of one thousand rupees! However, he made no mention of reinstating Vimla. - Read the following scenario and answer the questions that follow.
In Symbolis, an upcoming medium sized IT services organization, only 1% of the employees were awarded an annual performance bonus. This annual performance bonus was decided by a committee formed of different functional heads. When Ms. Nalini Kattakayam received the annual bonus for the first time in her five years at Symbolis, Ms. Shalini Sampath, a colleague with seven years of tenure at Symbolis, told Nalini that this annual bonus was less a reflection of Nalini’s performance and more a recognition of those who have fostered a strong rapport with the powers that be. Incidentally, Shalini had never received any performance bonus in her tenure at the company. - Read the following scenario and answer the questions that follow.
Raman had been working tirelessly as a Project Manager in the IT department of Flying Groceries, a renowned app-based supply chain company, for the past three years. Having graduated from a top-tier engineering college, he dived straight into the corporate world, managing projects with great zeal that inspired his seniors.
At the end of his first year with Flying Groceries, impressed with his hard work, Raman’s boss, Suraj, the founder-CEO of Flying Groceries, fast-tracked his promotion and made him Delivery Manager responsible for multiple projects of a vertical. Suraj also promised Raman the position of Chief Operation Officer in the fifth year of his tenure.
In search of a greater career trajectory, Raman pursued entrance exams for business schools. His efforts bore fruits as he secured a place in the country’s best business school, known for a strong alumni base, stellar placement records and demanding academic requirements.
Raman was delighted; he had three months to join the business school. Flying Groceries demanded that any employee who wished to leave the organization should give at least a month’s notice. Raman decided to continue working and enriching his work experience, which will be beneficial when applying to companies after graduating from the business school. Therefore, he decided not to share the news of the offer with anyone else for the time being.
Questions Asked in XAT exam
Match the following renowned Indian personalities with their respective awards.
Names Award 1. Shri Ratan Naval Tata A. Dadasaheb Phalke Award 2. Manmohan Singh B. Grammy Awards 3. Zakir Hussain C. Carnegie Medal of Philanthropy 4. Shyam Benegal D. World Statesman Award - XAT - 2025
- Famous personalities and their contributions
Match the following authors with their respective works.
Authors Books 1. Andy Weir A. Dune 2. Cixin Liu B. The Time Machine 3. Stephen Hawking C. The Brief History of Time 4. HG Wells D. The Martian 5. Frank Herbert E. The Three Body Problem - XAT - 2025
- Books and Authors
Match the following airlines with the countries where they are headquartered.
Airlines Countries 1. AirAsia A. Singapore 2. AZAL B. South Korea 3. Jeju Air C. Azerbaijan 4. Indigo D. India 5. Tigerair E. Malaysia - XAT - 2025
- Business and Economy
The diagram below represents a road network connecting five towns, namely Meeren, Lannisport, Winterfell, Oldtown, and Gulltown. The maximum speed limits along any stretch of road are as shown in the diagram. The straight road that connects Meeren to Gulltown passes through Oldtown. Another straight road, running west to east, connecting Meeren to Winterfell, passes through Lannisport. Further, two straight roads, one from Lannisport to Oldtown and another from Winterfell to Gulltown, are perpendicular to the road joining Meeren to Winterfell, and run from south to north.
Consider a car always travelling at the maximum permissible speed, and always taking the shortest route. It takes 1 hour to reach Oldtown from Meeren, 2 hours to reach Gulltown from Oldtown, and 45 minutes to reach Winterfell from Gulltown. (For this problem, always consider the shortest route in terms of distance.)
- XAT - 2025
- Logical and Analytical Reasoning Skills
The plots below depict and compare the average monthly incomes (in Rs. ’000) of males and females in ten cities of India in the years 2005 and 2015. The ten cities, marked A-J in the records, are of different population sizes. For a fair comparison, to adjust for inflation, incomes for both the periods are scaled to 2025 prices. Each red dot represents the average monthly income of females in a particular city in a particular year, while each blue dot represents the average monthly income of males in a particular city in a particular year. The gender gap for a city, for a particular year, is defined as the absolute value of the average monthly income of males, minus the average monthly income of females, in that year.
- XAT - 2025
- Data Interpretation