P&G Critical Thinking 2 — Questions and Answers
Question 1: All P&G brands in the 'premium' tier have a price above $10. Brand X is not in the premium tier. What can you conclude?
- Brand X costs less than $10
- Brand X may or may not cost more than $10 (Correct answer)
- Brand X is in the budget tier
- Brand X has lower quality
Correct answer: Brand X may or may not cost more than $10
Being outside the premium tier only tells us Brand X is not classified as premium — its price could still be above $10 under a different tier.
Question 2: A P&G team claims: 'We reduced packaging waste by 30% by switching to recycled materials.' Which fact would MOST strengthen this argument?
- The new packaging looks more attractive
- Third-party lifecycle analysis confirmed the 30% waste reduction (Correct answer)
- The recycled material supplier is a P&G partner
- The new packaging costs less
Correct answer: Third-party lifecycle analysis confirmed the 30% waste reduction
Third-party verification provides objective evidence that supports the team's internal claim.
Question 3: If 'all successful product launches include consumer testing' is true, which statement MUST also be true?
- All consumer-tested products are successful
- If a product was not consumer tested, it was not a successful launch (Correct answer)
- Consumer testing guarantees success
- Consumer testing is optional for success
Correct answer: If a product was not consumer tested, it was not a successful launch
By contrapositive logic, if consumer testing is required for success, then no testing means no success.
Question 4: A consumer panel prefers Fragrance A over Fragrance B 60% to 40% in blind testing. What is the MOST cautious conclusion?
- Fragrance A should always replace Fragrance B
- Fragrance A has a modest preference advantage under blind test conditions (Correct answer)
- 40% of consumers hate Fragrance B
- Fragrance B should be discontinued
Correct answer: Fragrance A has a modest preference advantage under blind test conditions
A 60/40 split indicates a moderate preference under specific test conditions, not a mandate for change.
Question 5: P&G's profit increased 10% while market share fell 2%. What does this MOST likely suggest?
- The company is performing poorly overall
- Profitability improvements (e.g., cost reduction or pricing) offset the volume decline (Correct answer)
- The 10% profit gain is unrelated to market share
- Market share data is unreliable
Correct answer: Profitability improvements (e.g., cost reduction or pricing) offset the volume decline
Profit can increase despite lower market share if margins improved through pricing, cost reduction, or product mix.
Question 6: A report says 'Brand loyalty for P&G's cleaning products is highest among consumers aged 45–60.' Which conclusion is MOST logical?
- Younger consumers do not buy P&G cleaning products
- Marketing to ages 45–60 may yield stronger retention returns in this category (Correct answer)
- P&G should stop marketing to younger consumers
- Older consumers are the only loyal consumers across all P&G categories
Correct answer: Marketing to ages 45–60 may yield stronger retention returns in this category
High loyalty in this age group suggests prioritizing retention marketing there could be cost-effective.
P&G Critical Thinking 2
All P&G brands in the 'premium' tier have a price above $10.
Brand X is not in the premium tier.
What can you conclude?