Question 57-60 are based on the following passage. 

    In most tourist towns in the United States, mom-and-pop businesses compete with larger corporate conglomerates. On one side of the street, signs in the windows advertise that a souvenir store is family run,while the other side boasts of discount t-shirts with tie city's name emblazoned on the front. 

    The competing approaches beg the question: What is the difference? 

    When studying both methods of operating a business, there are several factors to take into account. If one compares the relationship with the customer, mom and pops often prevail. Because they boast the benefit of forging a personal connection with their customers, travel guidebooks will often point out the family-operated stores so that tourists can participate in a distinctive experience. The larger stores often hire part-time staff who either do not live in the locale year-round and, therefore, do not embody the city's characteristic flavor or are not as personally invested in the products as an owner who started the company from the ground up. 

    However, a financial comparison can turn the tables in favor of the larger conglomerates. They can purchase in bulk and then slash prices, which is appealing to the average buyer. In addition, they can be more equipped to handle weighty expenses, such as taxes and liability insurance costs. When larger businesses are run by even more sizable corporations, the latter can spread its earnings and costs among several store locations and, therefore, average out any individual losses among the various sites. 

Which of the following can be inferred from the passage about large conglomerates?