LSAT Explanation PT 32, S1, Q3: Chairperson: The board of directors of

LSAT Question Stem

The chairperson's reasoning most closely conforms to which one of the following principles? 

Logical Reasoning Question Type

This is a Principle (Misc) question. 

Correct Answer

The correct answer to this question is D. 

LSAT Question Complete Explanation

Let's first analyze the passage and understand the chairperson's argument. The chairperson is saying that the board of directors should not be enticed by incentives offered by two foreign governments to expand their operations into those countries without further consideration. The reason given is that neither of these countries is politically stable. Now, let's look at the question type and what it's asking us to do. This is a Principle (Misc) question, which means we need to find the principle that most closely conforms to the chairperson's reasoning.

Now let's analyze each answer choice:

a) A corporation should never expand operations into countries that are politically unstable.

This answer choice is too strong and definitive. The chairperson is not saying that the corporation should never expand into politically unstable countries, but rather that they should not do so without further consideration. So, this answer choice doesn't fit the chairperson's reasoning.

b) Corporations should expand operations into countries when there is a chance of increasing profits.

This answer choice ignores the concern about political stability and focuses only on increasing profits. It doesn't align with the chairperson's reasoning, which emphasizes the need for further consideration due to political instability.

c) Political stability is the most important consideration in deciding whether to expand operations into a country.

This answer choice overstates the importance of political stability. The chairperson does not claim that political stability is the most important consideration, but rather that it is a significant factor that should be considered before making a decision. This choice doesn't accurately represent the chairperson's reasoning.

d) Corporations should always be cautious about expanding operations into politically unstable countries.

This answer choice aligns well with the chairperson's reasoning. It emphasizes the need for caution and further consideration when dealing with politically unstable countries, which is what the chairperson is arguing for.

e) Boards of directors should always disregard governmental incentives when considering where to expand corporate operations.

This answer choice goes too far by suggesting that governmental incentives should always be disregarded. The chairperson does not argue for completely disregarding incentives, but rather for not being enticed by them without considering other factors, such as political stability.

In conclusion, the correct answer is D, as it best conforms to the chairperson's reasoning by emphasizing the need for caution and further consideration when dealing with politically unstable countries.