GRE exercise1

Essay topics: “On average, middle-aged consumers devote 39 percent of their retail expenditure to department store products and services, while for younger consumers the average is only 25 percent. Since the number of middle-aged people will increase dramatically within the next decade, department stores can expect retail sales to increase significantly during that period. Furthermore, to take advantage of the trend, these stores should begin to replace some of those products intended to attract the younger consumer with products intended to attract the middle-aged consumer.’’

Increasing Goods Aimed at the Middle-aged is Unnecessary

In this argument, the author asserts that department stores should start to replace goods which attract young people with goods aimed at the middle-aged. To solidify this conclusion, the author cited the fact that middle-aged consumers devote a bigger percentage of retail expenditure to department stores than young consumers. The author also points out the dramatic increase in the number of middle-aged people within the next decades which should propel a significant growth in retail sales. However, this assertion is untenable and problematic because it contains three critical flaws: the exact amount of expenditure in department stores, possible changes in the next generation’s shopping habits and the goods that middle-aged consumers are actually buying.

To begin with, the author ignore that the young may spend more retail expenditure in department stores than middle-aged in exact number. By merely comparing the percentage of retail expenditure in department store, the author indiscreetly considers that middle-aged consumers spend more. However, the total amount of youngster’s retail expenditure is likely to be relatively more than frugal middle-aged consumers’. For example, the total expenditure may be $2000 versus $1000 though the percentage, according to the author, is 25% versus 39%. On this condition, their absolute amount of retail expenditure in department stores exceeds that of the middle-aged.

Besides, the shopping habits of the next generation are likely to change. The author hastily assumes that the next decade’s middle-aged consumers still devote 39% of retail expenditure to department stores, which isn’t necessarily true. The survey of online shopping market in China of 2015 reveals that the past decade has witnessed a sharp increase of people of all ages in percentage of retail expenditure in online shopping, and that online shopping is seizing the market share of offline shopping. In this case, the next generation’s middle-aged consumers may not stay as loyal to the goods in department stores as the current middle-aged consumers.

What’s more, the author’s assumption that the middle-aged are only purchasing goods for themselves is unconvincing. Many middle-aged consumers, especially those househusbands and housewives, are likely buying things for the whole family, including their children. Under these circumstance, children’s preferences are well considered. Therefore these middle-aged consumers will be purchasing goods that attract young people as well as for themselves, and there is a huge market for goods aimed at the young generation.

In summary, the assertion that goods that attract young people should be replaced with goods aimed at middle-aged consumers would be mistaken. More specific evidence is required on the absolute amount of retail expenditure in department stores, possible changes in the next generation’s shopping habits and the goods that middle-aged consumers are actually buying.