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Because of the recent transformation of the market. Quore,

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Senior Manager
Joined: 12 Mar 2006
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Because of the recent transformation of the market. Quore, [#permalink]  26 Aug 2006, 16:05
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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, Quoreâ€™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 Quoreâ€™s production structure that makes it possible for 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.
Current Student
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Pretty straightforward (C) here, unless there is some trap involved.

Negate (C) and nothing makes sense.
Senior Manager
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I would go for (E) on this.
Director
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Even though it appears straightforward as GMATT73 has said, I side with Sangarelli in favor of E. If 20% is unattainable, then 10% is not possible and hence Quore goes bankrupt.
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anandsebastin wrote:
Even though it appears straightforward as GMATT73 has said, I side with Sangarelli in favor of E. If 20% is unattainable, then 10% is not possible and hence Quore goes bankrupt.

There's a difference between what is attainable and what will drive the company to bankruptcy. E is far too extreme of an a conclusion given the evidence provided.

Sticking with (C).
Senior Manager
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anandsebastin wrote:
Even though it appears straightforward as GMATT73 has said, I side with Sangarelli in favor of E. If 20% is unattainable, then 10% is not possible and hence Quore goes bankrupt.

what is the difference between B and E ?
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I would side with GMATT73. Go with C.

what is the OA?
Manager
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I go with E
Because if there no a trans of the market, Q could still increase the productivity to prevent going bankrupt(5% for example)
But it is definitely true that if 20%increase is impossible so 10%increase is impossible so Q must go bankrupt.
Clearly E
Director
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(A) It is only Quoreâ€™s production structure that makes it possible for Quore to survive the transformation of the market.
-> Nopes. Out without a second thought.

(B) Quore will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years.
-> Nope. It needs to achieve only 10%. Not more.

(C) If the market had not been transformed, Quore would have required no productivity increase in order to avoid bankruptcy.
-> Not necessarily. It needs 10% productivity increase to save itself bcoz of the transformations. Without the transformations, it could have possibly required 5% or maybe 50%. Out.

(D) Because of the transformation of the market, Quore will achieve a productivity increase of 10 percent over the next two years.
-> Naaah... Out.

(E) If a 20 percent productivity increase is unattainable for Quore, then it must go bankrupt.
-> Yeah. If 20% is unattainable, then even 10% is not achievable. $$CEO Joined: 20 Nov 2005 Posts: 2910 Schools: Completed at SAID BUSINESS SCHOOL, OXFORD - Class of 2008 Followers: 20 Kudos [?]: 176 [0], given: 0 [#permalink] 27 Aug 2006, 07:58 paddyboy wrote: (A) It is only Quoreâ€™s production structure that makes it possible for Quore to survive the transformation of the market. -> Nopes. Out without a second thought. (B) Quore will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years. -> Nope. It needs to achieve only 10%. Not more. (C) If the market had not been transformed, Quore would have required no productivity increase in order to avoid bankruptcy. -> Not necessarily. It needs 10% productivity increase to save itself bcoz of the transformations. Without the transformations, it could have possibly required 5% or maybe 50%. Out. (D) Because of the transformation of the market, Quore will achieve a productivity increase of 10 percent over the next two years. -> Naaah... Out. (E) If a 20 percent productivity increase is unattainable for Quore, then it must go bankrupt. -> Yeah. If 20% is unattainable, then even 10% is not achievable.$$$Perfect. I think its the cuban cigar in your mouth that is doing the wonders. _________________ SAID BUSINESS SCHOOL, OXFORD - MBA CLASS OF 2008 Director Joined: 06 May 2006 Posts: 780 Followers: 3 Kudos [?]: 22 [0], given: 0 [#permalink] 27 Aug 2006, 08:04 ps_dahiya wrote: paddyboy wrote: (A) It is only Quoreâ€™s production structure that makes it possible for Quore to survive the transformation of the market. -> Nopes. Out without a second thought. (B) Quore will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years. -> Nope. It needs to achieve only 10%. Not more. (C) If the market had not been transformed, Quore would have required no productivity increase in order to avoid bankruptcy. -> Not necessarily. It needs 10% productivity increase to save itself bcoz of the transformations. Without the transformations, it could have possibly required 5% or maybe 50%. Out. (D) Because of the transformation of the market, Quore will achieve a productivity increase of 10 percent over the next two years. -> Naaah... Out. (E) If a 20 percent productivity increase is unattainable for Quore, then it must go bankrupt. -> Yeah. If 20% is unattainable, then even 10% is not achievable. $$Perfect. I think its the cuban cigar in your mouth that is doing the wonders. I'm da lucky punk! Wanna do that on G-day! Coming up next month Intern Joined: 24 Jun 2006 Posts: 48 Followers: 0 Kudos [?]: 0 [0], given: 0 [#permalink] 27 Aug 2006, 09:53 still i'd like the OA for this. I believe it is C. Senior Manager Joined: 12 Mar 2006 Posts: 366 Schools: Kellogg School of Management Followers: 2 Kudos [?]: 48 [0], given: 3 [#permalink] 27 Aug 2006, 14:54 paddyboy wrote: (A) It is only Quoreâ€™s production structure that makes it possible for Quore to survive the transformation of the market. -> Nopes. Out without a second thought. (B) Quore will not go bankrupt if it achieves a productivity increase of 20 percent over the next two years. -> Nope. It needs to achieve only 10%. Not more. (C) If the market had not been transformed, Quore would have required no productivity increase in order to avoid bankruptcy. -> Not necessarily. It needs 10% productivity increase to save itself bcoz of the transformations. Without the transformations, it could have possibly required 5% or maybe 50%. Out. (D) Because of the transformation of the market, Quore will achieve a productivity increase of 10 percent over the next two years. -> Naaah... Out. (E) If a 20 percent productivity increase is unattainable for Quore, then it must go bankrupt. -> Yeah. If 20% is unattainable, then even 10% is not achievable.$$$

OA is E, but here again i'm not sure how E is better than B. Could someone please explain ?
Senior Manager
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Maybe at 20% productivity the investment is so huge that quore does in fact go bankrupt.
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VP
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Went with C on this. I'm obviously wrong! Someone care to give a detailed explanation?
Director
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LOGIC: (If A then B) is true then also (if NOT B , then NOT A) is true.

1) If NOT 10% ==> Bankrupcy
2) If 10% ==> 20%

Now reverse the 2nd condition :

If NOT 20% then NOT 10% .. This is equivalent of condition (1) ; hence NOT 20% ==> Bankrupcy
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Director
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prude_sb wrote:
OA is E, but here again i'm not sure how E is better than B. Could someone please explain ?

B - The passage is talking about a 10% growth in two years' time. Only if this is attained, we can think of a 20% growth rate. A 20% growth rate in a period of two years is not mentioned in the passage, and is out of scope. Heck, lets make it a 50% growth rate, while we are at it! Negate this option. Quore does not have a 20% growth in two years - it has 11% growth. But Quore is still not out of business => It is not central to the integrity of this logic...

C - Explained in previous post.

E - Quoting, "Quoreâ€™s production structure is such that if a 10 percent productivity increase is possible, then a 20 percent increase is attainable." It follows from this, that if a 20% increase is unattainable, then it means the 10% productivity increase has not occurred. Hence Quore is bust.
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Because of the recent transformation of the market. Quore,

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