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605-655 Level|   Business|   Short Passage|                        
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Also did the same mistake as yours @ankit.

I guess its all about the wording between the two options, now after re-reading it I can see the incorrect option has a wording of "Examining the Scope" v/s in correct option "Application of strategy".

My 2 cents now lie on this wording - This can create four possible situations.
This line suggests "Application" is better than "Examination"

Otherwise these are very close choices, If I would have got this RC in thick of time,my first gut would be {D} and I would move on not realizing I did a mistake. Ticking on {C} here would be the Differentiator in getting V40 and V37 !!!

Can RC gurus throw some Big Light for seekers like us!!!

I understand the difference, there is a very subtle shift of meaning between the two choices.

Even if we stick close to the scope of passage, it's really hard to differentiate.

anyone any thoughts on this ?
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Outline of Passage
p1
There are two types of purchases - direct and indirect.
In direct - already competitive scrutiny exists.
In indirect - it doesn't
Author says thats in appropriate . If there is competitive scrutiny , it might save some money to purchasers
Now he says which factors should be used while evaluating whether to apply the competitive scrutiny:- availability of alternatives and ease of
changing suppliers

P2
He discuss 4 situations that arise on application of these 2 factors.

q1 - Which of the following best describes the relation of
the second paragraph to the first?
Answer C - The second paragraph discusses the
application of a strategy proposed in the first
paragraph.

reason - see outline of passage above
also the line - There are two independent variables—availability of alternatives and ease of changing suppliers—that companies should use to
evaluate the feasibility
of subjecting suppliers of indirect purchases to competitive scrutiny.

q2 - Which of the following can be inferred about supplier
partnerships, as they are described in the passage?
answer B - They can result in purchasers paying more for goods and services than they would in a competitive-bidding situation.
Check line - inappropriately shelter suppliers from rigorous competitive scrutiny that might afford the purchaser economic leverage

q3 - According to the passage, which of the following factors distinguishes an indirect purchase from other purchases?
answer D - The relationship of the purchased item to the purchasing company’s end product
check line - First 2 lines of para 1..
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In corporate purchasing, competitive scrutiny is typically limited to suppliers of items that are directly related to end products. With “indirect” purchases (such as computers, advertising, and legal services), which are not directly related to production, corporations often favor “supplier partnerships”(arrangements in which the purchaser forgoes the right to pursue alternative suppliers),which can inappropriately shelter suppliers from rigorous competitive scrutiny that might afford the purchaser economic leverage. There are two independent variables—availability of alternatives and ease of changing suppliers—that companies should use to evaluate the feasibility of subjecting suppliers of indirect purchases to competitive scrutiny. This can create four possible situations.

In Type 1 situations, there are many alternatives and change is relatively easy. Open pursuit of alternatives—by frequent competitive bidding, if possible—will likely yield the best results. InType 2situations, where there are many alternatives but change is difficult—as for providers of employee health-care benefits—it is important to continuously test the market and use the results to secure concessions from existing suppliers. Alternatives provide a credible threat to suppliers, even if the ability to switch is constrained. In Type 3 situations, there are few alternatives, but the ability to switch without difficulty creates a threat that companies can use to negotiate concessions from existing suppliers. In Type 4 situations, where there are few alternatives and change is difficult, partnerships may be unavoidable.

P1 :- About Direct purchase. About indirect Purchase with strategy.
P2 :- Possible situations and its description.


In paragraph 1 : Two variables - X & Y (Suppose) - use to evaluate the feasibility of subjecting suppliers.
In paragraph 2 : Four situation - how can these X & Y variable can be used to evaluate.
Type X Y
1 Many Easy
2 Many Difficult
3 Few Not Difficult
4 Few Difficult
Above table is just summary of p2

Q35:Which of the following best describes the relation of the second paragraph to the first?
A. The second paragraph offers proof of an assertion made in the first paragraph.
B. The second paragraph provides an explanation for the occurrence of a situation described in the first paragraph.
C. The second paragraph discusses the application of a strategy proposed in the first paragraph.
D. The second paragraph examines the scope of a problem presented in the first paragraph.
E. The second paragraph discusses the contradictions inherent in a relationship described in the first paragraph.

"indirect purchase" mentioned in 1st para so need to read details about it.
IP - which are not directly related to production. and also for direct purchase it mentioned relationship between suppliers ans end products.

Q37:According to the passage, which of the following factors distinguishes an indirect purchase from other purchases?
* The ability of the purchasing company to subject potential suppliers of the purchased item to competitive scrutiny
* The number of suppliers of the purchased item available to the purchasing company
* The methods of negotiation that are available to the purchasing company
* The relationship of the purchased item to the purchasing company's end product (the only options match)
* The degree of importance of the purchased item in the purchasing company's business operations


Thanks,
Sujeet
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maddy1234567890123

In Q-37, Why is "C" wrong?
The methods of negotiation that are available to the purchasing company:- indirect purchase-partnerships may be unavoidable & other purchases(means direct purchase)-frequent competitive bidding... Doesn't "c" fit here? Can somebody explain...



Let me try to explain why C is wrong for Q37.

3. According to the passage, which of the following factors distinguishes an indirect purchase from other purchases?

(A) The ability of the purchasing company to subject potential suppliers of the purchased item to competitive scrutiny
(B) The number of suppliers of the purchased item available to the purchasing company
(C) The methods of negotiation that are available to the purchasing company
(D) The relationship of the purchased item to the purchasing company's end product
(E) The degree of importance of the purchased item in the purchasing company's business operation


Task is to find what factor differentiate indirect purchase from other (direct) purchases? This is an inference question, hence we should be able to prove same in passage. As its mentioned in the passage highlighted below, basis is whether purchased item will be used for end products.

In corporate purchasing, competitive scrutiny is typically limited to suppliers of items that are directly related to end products. With “indirect” purchases (such as computers, advertising, and legal services), which are not directly related to production, corporations often favor “supplier partnerships” (arrangements in which the purchaser forgoes the right to pursue alternative suppliers), which can inappropriately shelter suppliers from rigorous competitive scrutiny that might afford the purchaser economic leverage.

Option C . Method of negotiation... is not mentioned in passage as a factor to differentiate between indirect purchase and other (direct) purchases.

Hint:
A real time scenario to make this passage easy: Think about a car manufacturing company, which purchases tires from suppliers. So tire supplier can be direct one.

Hope this helps :)
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Took 7 mins 20 seconds , including almost 3 mins to read . All correct

1. Which of the following best describes the relation of the second paragraph to the first?
"this can create 4 situations" is, in the transcription at hand, at the beginning of the second paragraph. it's not in the first paragraph.

the first paragraph consists of a bunch of background, about a certain business strategy. the second paragraph goes into the possible consequences of employing that strategy, but certainly does not "prove" anything stated in the first paragraph.

A. The second paragraph offers proof of an assertion made in the first paragraph. -- It does not prove anything stated in first paragraph
B. The second paragraph provides an explanation for the occurrence of a situation described in the first paragraph. -- Incorrect -- it does not provide any such explanation
C. The second paragraph discusses the application of a strategy proposed in the first paragraph. -- Correct
D. The second paragraph examines the scope of a problem presented in the first paragraph. -- Incorrect - Paragraph 1 does a fine job of defining the scope of the issue. Paragraph 2 compartmentalizes what has already been defined into specific strategies and when to apply them.
E. The second paragraph discusses the contradictions inherent in a relationship described in the first paragraph. -- Incorrect -- no contradictions are discussed

2. Which of the following can be inferred about supplier partnerships, as they are described in the passage?
With “indirect” purchases (such as computers, advertising, and legal services), which are not directly related to production, corporations often favor “supplier partnerships” (arrangements in which the purchaser forgoes the right to pursue alternative suppliers), which can inappropriately shelter suppliers from rigorous competitive scrutiny that might afford the purchaser economic leverage.

(A) They cannot be sustained unless the goods or services provided are available from a large number of suppliers. --Incorrect
(B) They can result in purchasers paying more for goods and services than they would in a competitive-bidding situation. --Correct
(C) They typically are instituted at the urging of the supplier rather than the purchaser. -- Incorrect -- nowhere mentioned in passage
(D) They are not feasible when the goods or services provided are directly related to the purchasers' end products.-- Not necessarily -- it depends on the scenario
(E) They are least appropriate when the purchasers' ability to change suppliers is limited. -- Opposite -- they are most appropriate ..

3. According to the passage, which of the following factors distinguishes an indirect purchase from other purchases?
In corporate purchasing, competitive scrutiny is typically limited to suppliers of items that are directly related to end products. With “indirect” purchases (such as computers, advertising, and legal services), which are not directly related to production, corporations often favor “supplier partnerships”

(A) The ability of the purchasing company to subject potential suppliers of the purchased item to competitive scrutiny -- Incorrect -- companies favor supplier partnerships in case of indirect , but can still do if they want depending the cases
(B) The number of suppliers of the purchased item available to the purchasing company -- Incorrect
(C) The methods of negotiation that are available to the purchasing company -- Irrelevant
(D) The relationship of the purchased item to the purchasing company's end product -- Correct
(E) The degree of importance of the purchased item in the purchasing company's business operation -- Incorrect
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ankit0411
GMAT® Official Guide 2019

Practice Question
Question No.:
Online test bank question number : RC00394-02 ~ RC00394-06
In corporate purchasing, competitive scrutiny is typically limited to suppliers of items that are directly related to end products. With “indirect” purchases (such as computers, advertising, and legal services), which are not directly related to production, corporations often favor “supplier partnerships” (arrangements in which the purchaser forgoes the right to pursue alternative suppliers), which can inappropriately shelter suppliers from rigorous competitive scrutiny that might afford the purchaser economic leverage. There are two independent variables—availability of alternatives and ease of changing suppliers—that companies should use to evaluate the feasibility of subjecting suppliers of indirect purchases to competitive scrutiny. This can create four possible situations.

In Type 1 situations, there are many alternatives and change is relatively easy. Open pursuit of alternatives—by frequent competitive bidding, if possible—will likely yield the best results. In Type 2 situations, where there are many alternatives but change is difficult—as for providers of employee health-care benefits—it is important to continuously test the market and use the results to secure concessions from existing suppliers. Alternatives provide a credible threat to suppliers, even if the ability to switch is constrained. In Type 3 situations, there are few alternatives, but the ability to switch without difficulty creates a threat that companies can use to negotiate concessions from existing suppliers. In Type 4 situations, where there are few alternatives and change is difficult, partnerships may be unavoidable.
RC00394-03
1. Which of the following best describes the relation of the second paragraph to the first?

(A) The second paragraph offers proof of an assertion made in the first paragraph.
(B) The second paragraph provides an explanation for the occurrence of a situation described in the first paragraph.
(C) The second paragraph discusses the application of a strategy proposed in the first paragraph.
(D) The second paragraph examines the scope of a problem presented in the first paragraph.
(E) The second paragraph discusses the contradictions inherent in a relationship described in the first paragraph.


RC00394-02
2. Which of the following can be inferred about supplier partnerships, as they are described in the passage?

(A) They cannot be sustained unless the goods or services provided are available from a large number of suppliers.
(B) They can result in purchasers paying more for goods and services than they would in a competitive-bidding situation.
(C) They typically are instituted at the urging of the supplier rather than the purchaser.
(D) They are not feasible when the goods or services provided are directly related to the purchasers' end products.
(E) They are least appropriate when the purchasers' ability to change suppliers is limited.


RC00394-06
3. According to the passage, which of the following factors distinguishes an indirect purchase from other purchases?

(A) The ability of the purchasing company to subject potential suppliers of the purchased item to competitive scrutiny
(B) The number of suppliers of the purchased item available to the purchasing company
(C) The methods of negotiation that are available to the purchasing company
(D) The relationship of the purchased item to the purchasing company's end product
(E) The degree of importance of the purchased item in the purchasing company's business operation


RC00394-04
4. It can be inferred that the author of the passage would be most likely to make which of the following recommendations to a company purchasing health care benefits for its employees?

(A) Devise strategies for circumventing the obstacles to replacing the current provider of health care benefits.
(B) Obtain health care benefits from a provider that also provides other indirect products and services.
(C) Obtain bids from other providers of health care benefits in order to be in a position to negotiate a better deal with the current provider.
(D) Switch providers of health care benefits whenever a different provider offers a more competitive price.
(E) Acknowledge the difficulties involved in replacing the current provider of health care benefits and offer to form a partnership with the provider.


RC00394-05
5. Which of the following is one difference between Type 2 situations and Type 4 situations, as they are described in the passage?

(A) The number of alternative suppliers available to the purchaser
(B) The most effective approach for the purchaser to use in obtaining competitive bids from potential suppliers
(C) The degree of difficulty the purchaser encounters when changing suppliers
(D) The frequency with which each type of situation occurs in a typical business environment
(E) The likelihood that any given purchase will be an indirect purchase


Can anyone explain Q4.
I hope the below line is being used.
it is important to continuously test the market and use the results to secure concessions from existing supplier.
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1. Which of the following best describes the relation of the second paragraph to the first?

(A) The second paragraph offers proof of an assertion made in the first paragraph. the second paragraph discusses hypothetical cases
(B) The second paragraph provides an explanation for the occurrence of a situation described in the first paragraph. the situation to which this choice likely refers to is one in which companies neglect to subject indirect product suppliers to comp. scrutiny. But the second para. talks about scenarios that would occur if the feasibility test was applied
(C) The second paragraph discusses the application of a strategy proposed in the first paragraph. correct
(D) The second paragraph examines the scope of a problem presented in the first paragraph. while neglecting to subject indirect product/service suppliers to competitive scrutiny may be a problem, the scenarios discussed in the paragraph are from the solution perspective
(E) The second paragraph discusses the contradictions inherent in a relationship described in the first paragraph. the information seems to to develop the idea discussed in the paragraph above

2. Which of the following can be inferred about supplier partnerships, as they are described in the passage?

(A) They cannot be sustained unless the goods or services provided are available from a large number of suppliers.
(B) They can result in purchasers paying more for goods and services than they would in a competitive-bidding situation. "“supplier partnerships” (arrangements in which the purchaser forgoes the right to pursue alternative suppliers), which can inappropriately shelter suppliers from rigorous competitive scrutiny that might afford the purchaser economic leverage"
(C) They typically are instituted at the urging of the supplier rather than the purchaser.
(D) They are not feasible when the goods or services provided are directly related to the purchasers' end products. too strong: the partnership is not usually applied
(E) They are least appropriate when the purchasers' ability to change suppliers is limited. superficial word matches, since 'supplier partnership' does not even fit in to possible scenarios after subjecting the supplier to comp. scrutiny test

3. According to the passage, which of the following factors distinguishes an indirect purchase from other purchases?

(A) The ability of the purchasing company to subject potential suppliers of the purchased item to competitive scrutiny if anything, it's the other way around: you subject the supplier comp. scrutiny if the item is related to the production
(B) The number of suppliers of the purchased item available to the purchasing company
(C) The methods of negotiation that are available to the purchasing company
(D) The relationship of the purchased item to the purchasing company's end product " items that are directly related to end products. With “indirect” purchases <...>, which are not directly related to production" - correct
(E) The degree of importance of the purchased item in the purchasing company's business operation

4. It can be inferred that the author of the passage would be most likely to make which of the following recommendations to a company purchasing health care benefits for its employees?

(A) Devise strategies for circumventing the obstacles to replacing the current provider of health care benefits. too hard to switch the supplier
(B) Obtain health care benefits from a provider that also provides other indirect products and services. superficial word matches
(C) Obtain bids from other providers of health care benefits in order to be in a position to negotiate a better deal with the current provider. "as for providers of employee health-care benefits—it is important to continuously test the market and use the results to secure concessions from existing suppliers. Alternatives provide a credible threat to suppliers, even if the ability to switch is constrained" - correct
(D) Switch providers of health care benefits whenever a different provider offers a more competitive price. the switch is too difficult in this scenario
(E) Acknowledge the difficulties involved in replacing the current provider of health care benefits and offer to form a partnership with the provider. it's stated that in this case, the company should leverage the market prices and negotiate a better deal
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HI GMATNinja , mikemcgarry , egmat , sayantanc2k, RonPurewal , DmitryFarber , MagooshExpert (Carolyn), ccooley , GMATNinjaTwo , SarahPurewal , EMPOWERgmatVerbal

Can you please help me with below questions

3) According to the passage, which of the following factors distinguishes an indirect purchase from other purchases?

(A) The ability of the purchasing company to subject potential suppliers of the purchased item to competitive scrutiny
(B) The number of suppliers of the purchased item available to the purchasing company
(C) The methods of negotiation that are available to the purchasing company
(D) The relationship of the purchased item to the purchasing company's end product
(E) The degree of importance of the purchased item in the purchasing company's business operation


5. Which of the following is one difference between Type 2 situations and Type 4 situations, as they are described in the passage?

(A) The number of alternative suppliers available to the purchaser
(B) The most effective approach for the purchaser to use in obtaining competitive bids from potential suppliers
(C) The degree of difficulty the purchaser encounters when changing suppliers
(D) The frequency with which each type of situation occurs in a typical business environment
(E) The likelihood that any given purchase will be an indirect purchase
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HI GMATNinja , mikemcgarry , egmat , sayantanc2k, RonPurewal , DmitryFarber , MagooshExpert (Carolyn), ccooley , GMATNinjaTwo , SarahPurewal , EMPOWERgmatVerbal

Can you please help me with below questions

3) According to the passage, which of the following factors distinguishes an indirect purchase from other purchases?

(A) The ability of the purchasing company to subject potential suppliers of the purchased item to competitive scrutiny
(B) The number of suppliers of the purchased item available to the purchasing company
(C) The methods of negotiation that are available to the purchasing company
(D) The relationship of the purchased item to the purchasing company's end product
(E) The degree of importance of the purchased item in the purchasing company's business operation


5. Which of the following is one difference between Type 2 situations and Type 4 situations, as they are described in the passage?

(A) The number of alternative suppliers available to the purchaser
(B) The most effective approach for the purchaser to use in obtaining competitive bids from potential suppliers
(C) The degree of difficulty the purchaser encounters when changing suppliers
(D) The frequency with which each type of situation occurs in a typical business environment
(E) The likelihood that any given purchase will be an indirect purchase

Q3 : It's in the first few lines of the first paragraph
"competitive scrutiny is typically limited to suppliers of items that are directly related to end products. With “indirect” purchases (such as computers, advertising, and legal services), which are not directly related to production"

Q5 : 2nd paragraph
Type 2 : where there are many alternatives but change is difficult
Type 4 : few alternatives and change is difficult
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Q2 E
Q4 E.

Whats wrong with these options ?
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Q2 E
Q4 E.

Whats wrong with these options ?

Question 2


Question 2 asks, "Which of the following can be inferred about supplier partnerships, as they are described in the passage?"

According to the passage, supplier partnerships are "arrangements in which the purchaser forgoes the right to pursue alternative suppliers."

So if firm A enters into supplier partnership with firm B, then firm A commits to purchasing agreed-upon supplies from firm B — and firm A cannot pursue those same supplies from any other firm.

After defining this term, the author spends all of paragraph 2 describing four situations and explaining how firms should think about supplier partnerships within each situation:

    1. Many alternatives and change is relatively easy -> Open pursuit of alternatives will likely yield the best results.
    2. Many alternatives but change is difficult -> Continuously test the market and use the results to secure concessions from existing suppliers.
    3. Few alternatives but change is easy -> Negotiate concessions from existing suppliers.
    4. Few alternatives and change is difficult -> Partnerships may be unavoidable.

Now, here's what Choice (E) says about supplier partnerships:

Quote:
(E) They are least appropriate when the purchasers' ability to change suppliers is limited.
This does NOT match how the author breaks down purchasers' options in paragraph 2.

The breakdown of situations suggests that supplier partnerships are least appropriate in situation 1, where firm A has the most flexibility to dictate the terms of supply (e.g. through frequent competitive bidding).

Change is also easy in situation 3. But does this means that supplier partnerships are just as inappropriate here as they are in situation 1?

Nothing in the passage implies that. In situation 1, firm A has practically no reason to enter into a supplier partnership. But in situation 3, firm A has few choices for suppliers. Even if the author's advice for situation 3 is to negotiate concessions from those suppliers, firm A has much less leverage in this situation. Consequently, it is logically more appropriate for firm A to consider a supplier partnership in situation 1 than in situation 3.

That's why we can eliminate choice (E).

Question 4


This one asks, "It can be inferred that the author of the passage would be most likely to make which of the following recommendations to a company purchasing health care benefits for its employees?"

According to the passage, providers of employee health-care benefits fall into situation 2.

So let's revisit the author's own words for that situation. Here's the breakdown of situations and advice again, from paragraph 2:

    1. Many alternatives and change is relatively easy -> Open pursuit of alternatives will likely yield the best results.
    2. Many alternatives but change is difficult -> Continuously test the market and use the results to secure concessions from existing suppliers.
    3. Few alternatives but change is easy -> Negotiate concessions from existing suppliers.
    4. Few alternatives and change is difficult -> Partnerships may be unavoidable.

Now, choice (E) says that the author would likely recommend the following:

Quote:
(E) Acknowledge the difficulties involved in replacing the current provider of health care benefits and offer to form a partnership with the provider.
This absolutely does NOT line up with the passage. In situation 2, the author does NOT recommend forming a partnership. That action would contradict the author's recommendation to "continuously test the market and use the results to secure concession," and that's why we eliminate (E).

This error is especially clear when comparing (E) to choice (C), which is a spot-on match for how the author uses health-care benefit providers to illustrate situation 2:

Quote:
(C) Obtain bids from other providers of health care benefits in order to be in a position to negotiate a better deal with the current provider.
I hope this helps!
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8 Minutes to complete reading the passage, create notes and answer 5 questions. Overall took 4 minutes to read and take notes and answered 5 questions in next 4 minutes.When reading first time, reading thoroughly and taking notes helped save time while answering.
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hi experts~
there is a sentence in this passage:"With “indirect” purchases (such as computers, advertising, and legal services), which are not directly related to production, corporations often favor “supplier partnerships” (arrangements in which the purchaser forgoes the right to pursue alternative suppliers), which can inappropriately shelter suppliers from rigorous competitive scrutiny that might afford the purchaser economic leverage. " i can understand its meaning except for this word"afford"…i am not a native speaker, so anyone can help me about this ? i just can understand that "I could never afford to buy a new house."
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noellee
hi experts~
there is a sentence in this passage:"With “indirect” purchases (such as computers, advertising, and legal services), which are not directly related to production, corporations often favor “supplier partnerships” (arrangements in which the purchaser forgoes the right to pursue alternative suppliers), which can inappropriately shelter suppliers from rigorous competitive scrutiny that might afford the purchaser economic leverage. " i can understand its meaning except for this word"afford"…i am not a native speaker, so anyone can help me about this ? i just can understand that "I could never afford to buy a new house."
That sentence is a doozy!

Another definition of "afford" is "to supply or provide." For example, you could say that "the sinking of the Titanic afforded Rose the opportunity to fake her own death and assume an alternate identity."

Here, "supplier partnerships" afford (or provide) economic leverage to suppliers. This is because these partnerships are somewhat hidden from view, and so suppliers don't have to face competitive scrutiny that would come with a different type of agreement.

I hope that helps!
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dear AndrewN,and other experts:DavidTutorexamPAL
GMATNinja, GMATNinjaTwo, VeritasKarishma, AnthonyRitz, CJAnish, MartyTargetTestPrep,
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1. Which of the following best describes the relation of the second paragraph to the first?

(A) The second paragraph offers proof of an assertion made in the first paragraph.
(B) The second paragraph provides an explanation for the occurrence of a situation described in the first paragraph.
(C) The second paragraph discusses the application of a strategy proposed in the first paragraph.
(D) The second paragraph examines the scope of a problem presented in the first paragraph.
(E) The second paragraph discusses the contradictions inherent in a relationship described in the first paragraph.

I am struggling with B and C of this question : I picked up B because I thought P2 is the more details of the 4 types mentioned in P1, so I thought this is explanation of 4 types in P1. also, I cannot understand the application in C, for me , application is something that tells you how to use the 4 types in different circumstances.

I recognized i frequently missed this kind of questions. I must have some reasoning bug or I haven't master the skills of this kind questions, would you please point out the test points behind this kind questions?

thanks in advance
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zoezhuyan
dear AndrewN,and other experts:DavidTutorexamPAL
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VeritasPrepBrian,fiftyoneverbal
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1. Which of the following best describes the relation of the second paragraph to the first?

(A) The second paragraph offers proof of an assertion made in the first paragraph.
(B) The second paragraph provides an explanation for the occurrence of a situation described in the first paragraph.
(C) The second paragraph discusses the application of a strategy proposed in the first paragraph.
(D) The second paragraph examines the scope of a problem presented in the first paragraph.
(E) The second paragraph discusses the contradictions inherent in a relationship described in the first paragraph.

I am struggling with B and C of this question : I picked up B because I thought P2 is the more details of the 4 types mentioned in P1, so I thought this is explanation of 4 types in P1. also, I cannot understand the application in C, for me , application is something that tells you how to use the 4 types in different circumstances.

I recognized i frequently missed this kind of questions. I must have some reasoning bug or I haven't master the skills of this kind questions, would you please point out the test points behind this kind questions?

thanks in advance
There are a couple different things that are important to remember with this question. The first is the particulars of the question. In this instance, the question is asking for the relation of the two paragraphs. This means we have to identify the purpose of each paragraph. And the next thing to remember is that we have to be diligent in our process of elimination. We need to find reasons to eliminate answers and not talk ourselves into answers.

With that in mind, let’s take a look at (B):

Quote:
(B) The second paragraph provides an explanation for the occurrence of a situation described in the first paragraph.
The problem is that the first paragraph does not describe a situation. It describes a corporate purchasing strategy, namely competitive scrutiny with “indirect” purchases. Moreover, the second paragraph doesn’t explain an occurrence. It talks about how competitive scrutiny can/cannot be applied in four different situations. For those reasons, we can eliminate (B).

And here’s (C):

Quote:
(C) The second paragraph discusses the application of a strategy proposed in the first paragraph.
As we identified above, the strategy discussed in the first paragraph is competitive scrutiny with “indirect” purchases. The second paragraph then describes how the competitive scrutiny can/cannot be applied in four different situations. This is exactly what is detailed in (C). “To apply” means to put into practice. And the second paragraph discusses how competitive scrutiny with “indirect” purchases can be put into practice. So, (C) is the best answer choice.

One other note on these questions: as we did above, it can be helpful to break down each part of an answer choice. For example, with (B), what exactly is the explanation in the second paragraph? Or with (C), what is the strategy proposed in the first paragraph? Being precise with the answer choices can make it much easier to eliminate incorrect options.

I hope that helps!
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noellee
hi experts~
there is a sentence in this passage:"With “indirect” purchases (such as computers, advertising, and legal services), which are not directly related to production, corporations often favor “supplier partnerships” (arrangements in which the purchaser forgoes the right to pursue alternative suppliers), which can inappropriately shelter suppliers from rigorous competitive scrutiny that might afford the purchaser economic leverage. " i can understand its meaning except for this word"afford"…i am not a native speaker, so anyone can help me about this ? i just can understand that "I could never afford to buy a new house."
That sentence is a doozy!

Another definition of "afford" is "to supply or provide." For example, you could say that "the sinking of the Titanic afforded Rose the opportunity to fake her own death and assume an alternate identity."

Here, "supplier partnerships" afford (or provide) economic leverage to suppliers. This is because these partnerships are somewhat hidden from view, and so suppliers don't have to face competitive scrutiny that would come with a different type of agreement.

I hope that helps!
3) According to the passage, which of the following factors distinguishes an indirect purchase from other purchases?

(A) The ability of the purchasing company to subject potential suppliers of the purchased item to competitive scrutiny
(B) The number of suppliers of the purchased item available to the purchasing company
(C) The methods of negotiation that are available to the purchasing company
(D) The relationship of the purchased item to the purchasing company's end product
(E) The degree of importance of the purchased item in the purchasing company's business operation
In this ques, why is option A wrong? CAn someone please clarify
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