Read the following statement about mobile tariffs and the suggested courses of action, and then decide which course of action logically follows, assuming the statement is completely true. Statement: Cell phone users have found that tariff plans are not as attractive as promoted by telecom companies and have complained to the regulatory authority about this mismatch. Courses of action: I. The regulatory authority should direct telecom companies to be transparent about the tariff structure of all plans in their advertising and communication. II. The government should restrict the number of telecom companies operating in the country.

Difficulty: Medium

Correct Answer: Only course of action I follows.

Explanation:


Introduction / Context:
This course of action question involves consumer complaints about misleading mobile tariff promotions. Users feel that the tariff plans are not as attractive as advertised and have approached the regulatory authority. You must decide which suggested course of action is a logical response to this situation. The question tests your understanding of consumer protection and market regulation principles.


Given Data / Assumptions:

  • Telecom companies are promoting tariff plans as attractive.
  • Actual tariffs are not as attractive as claimed in the promotions.
  • Consumers have complained to the regulatory authority about this mismatch.
  • The regulatory authority can issue directions to companies.
  • The government can regulate the number of companies in the market, but no problem about excessive competition is stated.


Concept / Approach:
Logical courses of action should:

  • Directly address the cause of the complaint.
  • Be proportionate, fair, and targeted.
  • Not introduce unrelated policy changes that do not solve the identified problem.
Here, the core issue is lack of transparency and possibly misleading advertising by telecom companies.


Step-by-Step Solution:
Step 1: Evaluate course of action I. If users feel misled about tariff attractiveness, the natural remedy is greater transparency in tariff structures. The regulatory authority can insist that companies clearly state all charges, conditions, and true benefits in their advertisements and communication. This directly addresses the complaint and promotes fair information. Step 2: Evaluate course of action II. Restricting the number of telecom companies is unrelated to the problem described. The issue is not overcrowding of the market but misrepresentation of tariffs by companies. Fewer companies would not automatically guarantee honest marketing and may even reduce competition, which often leads to worse outcomes for consumers. Step 3: Decide which course follows. I is a direct, reasonable, and targeted consumer protection measure, while II is unrelated to the stated complaint. Therefore, only I follows. Step 4: Choose the correct option. The option that states only course of action I follows is the correct answer.


Verification / Alternative check:
Imagine that the regulatory authority enforces full tariff transparency. Consumers would then be able to compare plans clearly and avoid surprises, solving the mismatch between promise and reality. If instead the government simply reduced the number of telecom companies without any rule about honest advertising, the problem would persist. This confirms that course I addresses the root issue while course II does not.


Why Other Options Are Wrong:

  • Only course of action II follows: Incorrect because it does not relate to the problem of misleading tariff promotions.
  • Either course of action I or II follows: Incorrect because II is not a valid response in this context.
  • Both courses of action I and II follow: Incorrect because combining a relevant measure with an irrelevant one still leaves the irrelevant part unjustified.


Common Pitfalls:
Some students think that any strong government intervention, such as restricting the number of companies, must be a correct course of action. However, in logical reasoning you must ensure that the action directly responds to the specific issue raised. Another pitfall is to assume that fewer companies automatically means better service or honest behaviour, which is not necessarily true without proper regulation and transparency rules.


Final Answer:
Only course of action I follows.

More Questions from Course of Action

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