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Quore's Survival

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Quore's Survival

by hja379 » Mon Mar 21, 2011 8:07 am
Because of the recent transformation of the market, Quore Inc. must increase productivity 10 percent over the course of the next two years or it will certainly go bankrupt. In fact, however, Quore's production structure is such that if a 10 percent productivity increase is possible, then a 20 percent increase is attainable.

If the statements above are true, which one of the following must on the basis of them also be true?
(A) It is only Quore's production structure that makes it possible fro Quore to survive the transformation of the market.
(B) Quore will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.
(C) If the market had not been transformed, Quore would have required no productivity increase in order to avoid bankruptcy.
(D) Because of the transformation of the market Quore will achieve a productivity increase of 10 percent over the next two years.
(E) If a 20 percent productivity increase is unattainable for Quore, then it must go bankrupt.

OA is E
Last edited by hja379 on Tue Mar 22, 2011 8:15 am, edited 1 time in total.
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by AIM GMAT » Mon Mar 21, 2011 8:13 am
IMO E .

Transformatn --- > 10% inc --- > 20% inc ---> no bankrupt
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by rahul_tgsp » Mon Mar 21, 2011 8:52 am
hja379 wrote:Because of the recent transformation of the market, Quore Inc. must increase productivity 10 percent over the course of the next two years or it will certainly go bankrupt. In fact, however, Quore's production structure is such that if a 10 percent productivity increase is possible, then a 20 percent increase is attainable.

If the statements above are true, which one of the following must on the basis of them also be true?
(A) It is only Quore's production structure that makes it possible fro Quore to survive the transformation of the market.
(B) Quore will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.
(C) If the market had not been transformed, Quore would have required no productivity increase in order to avoid bankruptcy.
(D) Because of the transformation of the market Quore will achieve a productivity increase of 10 percent over the next two years.
(E) If a 20 percent productivity increase is unattainable for Quore, then it must go bankrupt.

OA after discussion.
IMO c as it tends to paraphrase the 1st sentence "because of ........ will certainly go bankrupt"
A : production structure only reason not suggested
D : quore inc will achieve its productivity is not a surety
E : goes against premise as only a 10% productivity can attain the goal
B: i m not very sure about this one but still din't feel like it (seemed t go too far though does manage to encompass many elements of the argument)
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by mundasingh123 » Mon Mar 21, 2011 9:29 am
No information that would enable us to determine the scenario had the transformation of market not taken place has been given
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by fitzgerald23 » Mon Mar 21, 2011 4:32 pm
Great question.

1. Because of market changes Quore must increase productivity 10% or go bankrupt
2. If Quare can attain 10% then it also will attain 20%

A. Incorrect. This is never said. The structure is a relationship between 10 and 20%, but not between seccess and failure.

B. Incorrect. The passage never states that this guarantees survival.

C. Incorrect. This is the trick answer and a great choice. The keys here to eliminate this one is that the passage is concerned with a 10% increase, but C states that it would require no increase. They dont say that. The market change necessitates at least a 10% increase, but if it did not change they may still have had to increase by 1 thru 9%.

D. Incorrect. Clearly not stated

E. Correct. If 10 is possible 20 is attainable. They go hand in hand. If they cant attain 20% it means they never hit 10%. WIthout 10% increase in productivity they are going backrupt.
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by manpsingh87 » Mon Mar 21, 2011 11:01 pm
hja379 wrote:Because of the recent transformation of the market, Quore Inc. must increase productivity 10 percent over the course of the next two years or it will certainly go bankrupt. In fact, however, Quore's production structure is such that if a 10 percent productivity increase is possible, then a 20 percent increase is attainable.

If the statements above are true, which one of the following must on the basis of them also be true?
(A) It is only Quore's production structure that makes it possible fro Quore to survive the transformation of the market.
(B) Quore will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.
(C) If the market had not been transformed, Quore would have required no productivity increase in order to avoid bankruptcy.
(D) Because of the transformation of the market Quore will achieve a productivity increase of 10 percent over the next two years.
(E) If a 20 percent productivity increase is unattainable for Quore, then it must go bankrupt.

OA after discussion.

IMO E

A) Incorrect. No such thing is mentioned in the passage.
B)Incorrect. Even if it achieve the target of 20% then also we can't guarantee that it will survive because no such thing is mentioned.
C) Incorrect. Although it looks very tempting but it is out of scope of this paragraph
D)Incorrect. No such evidence of that is present in the passage.
E) Correct. As mentioned in the passage if 10% is attainable so is 20%, so if 20% is not achievable than it means 10% is not achieved if 10 % is not achieved than company is bound to go bankrupt.
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by M09 » Tue Mar 22, 2011 6:35 am
fitzgerald23 wrote:Great question.

1. Because of market changes Quore must increase productivity 10% or go bankrupt
2. If Quare can attain 10% then it also will attain 20%

A. Incorrect. This is never said. The structure is a relationship between 10 and 20%, but not between seccess and failure.

B. Incorrect. The passage never states that this guarantees survival.

C. Incorrect. This is the trick answer and a great choice. The keys here to eliminate this one is that the passage is concerned with a 10% increase, but C states that it would require no increase. They dont say that. The market change necessitates at least a 10% increase, but if it did not change they may still have had to increase by 1 thru 9%.

D. Incorrect. Clearly not stated

E. Correct. If 10 is possible 20 is attainable. They go hand in hand. If they cant attain 20% it means they never hit 10%. WIthout 10% increase in productivity they are going backrupt.
Though I chose E as the OA,which eventually turned out be the correct answer, but how to reject option B which says "Quore will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years" As per the Q we know if 20% increase is attainable then the company wont go bankrupt.

Are you thinking that there could be other reasons to go bankrupt even if 20% increase is attainable?
If yes, then the Q doesnt talk about other things. Please let me know?
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by fitzgerald23 » Tue Mar 22, 2011 6:58 am
M09 wrote:
Though I chose E as the OA,which eventually turned out be the correct answer, but how to reject option B which says "Quore will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years" As per the Q we know if 20% increase is attainable then the company wont go bankrupt.

Are you thinking that there could be other reasons to go bankrupt even if 20% increase is attainable?
If yes, then the Q doesnt talk about other things. Please let me know?
With these trickier questions I think you really have to read the passages very closely. In this case does the passage ever talk about anything guaranteeing survival? No. It is concerned with failure. If they dont attain at least a 10% production increase they will go bankrupt. That is guaranteed. That is not the same as saying that a 10% production increase guarantees that they will stay in business. They never say that. Maybe its implied, but its not a "must be true" scenario. All the 10% improvement gives is a chance to stay in business.
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by hja379 » Tue Mar 22, 2011 8:16 am
I have updated the OA. I apologize for the delay.
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by hja379 » Tue Mar 22, 2011 8:24 am
fitzgerald23 wrote:
M09 wrote:
Though I chose E as the OA,which eventually turned out be the correct answer, but how to reject option B which says "Quore will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years" As per the Q we know if 20% increase is attainable then the company wont go bankrupt.

Are you thinking that there could be other reasons to go bankrupt even if 20% increase is attainable?
If yes, then the Q doesnt talk about other things. Please let me know?
With these trickier questions I think you really have to read the passages very closely. In this case does the passage ever talk about anything guaranteeing survival? No. It is concerned with failure. If they dont attain at least a 10% production increase they will go bankrupt. That is guaranteed. That is not the same as saying that a 10% production increase guarantees that they will stay in business. They never say that. Maybe its implied, but its not a "must be true" scenario. All the 10% improvement gives is a chance to stay in business.
Choice B is a very tricky one and an apparent trap. We know for sure that if they don't achieve 10% they will go bankrupt. But even if they achieve 10%, what if the market crashes at the end of the year, or they uncover a major stock back-dating, or all the clients choose to leave company Q at the end of 2 year period... there are infinite possibilities.

I went with B in my first take. Thanks fitzgerald23.
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