Events & Promotions
|
|
GMAT Club Daily Prep
Thank you for using the timer - this advanced tool can estimate your performance and suggest more practice questions. We have subscribed you to Daily Prep Questions via email.
Customized
for You
Track
Your Progress
Practice
Pays
Not interested in getting valuable practice questions and articles delivered to your email? No problem, unsubscribe here.
Nov 2007:30 AM PST
-08:30 AM PST
Learn what truly sets the UC Riverside MBA apart and how it helps in your professional growth
Nov 2211:00 AM IST
-01:00 PM IST
Do RC/MSR passages scare you? e-GMAT is conducting a masterclass to help you learn – Learn effective reading strategies Tackle difficult RC & MSR with confidence Excel in timed test environment- Nov 23
11:00 AM IST
-01:00 PM IST
Attend this free GMAT Algebra Webinar and learn how to master the most challenging Inequalities and Absolute Value problems with ease. 
Nov 2510:00 AM EST
-11:00 AM EST
Prefer video-based learning? The Target Test Prep OnDemand course is a one-of-a-kind video masterclass featuring 400 hours of lecture-style teaching by Scott Woodbury-Stewart, founder of Target Test Prep and one of the most accomplished GMAT instructors.
andrewjohn8
GMAT Focus 1: 645 Q80 V88 DI78 
Posts: 34
13 Jul 2024, 12:54
Kudos
Bookmarks
Question 1
D
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
15%
(low)
Question Stats:
77% (02:18) correct
23%
(02:02) wrong
based on 469
sessions
History
Date
Time
Result
Not Attempted Yet
Question 2
A
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
5%
(low)
Question Stats:
85% (01:05) correct 15%
(01:37) wrong
based on 459
sessions
History
Date
Time
Result
Not Attempted Yet
Question 3
E
Be sure to select an answer first to save it in the Error Log before revealing the correct answer (OA)!
Difficulty:
5%
(low)
Question Stats:
81% (00:40) correct 19%
(01:01) wrong
based on 451
sessions
History
Date
Time
Result
Not Attempted Yet
Many economists have held that competition among multiple domestic rivals within a given industry tends to weaken a nation's competitive advantage internationally within that industry: such rivalry leads to duplication of effort and prevents companies from lowering costs through large-scale production. Therefore, according to conventional wisdom, a government should embrace one or two national champions-companies with the scale and strength to tackle foreign competitors-and guarantee them the necessary resources for international operation.
In fact, though, most such heavily subsidized and protected champions are uncompetitive internationally, for they fail to benefit from domestic rivalry, which spurs companies to lower costs, improve quality and service, and create new products and processes. Unlike rivalries with foreign competitors, which tend to be abstract and distant, domestic rivalries involve direct competition for talented employees, for technical excellence, and for quantifiable success. Domestic competition automatically cancels the types of advantage that come from simply being in a particular nation-labor and supply costs, or access to and preference in the home market-and forces companies to develop other advantages. True, vigorous domestic competition ultimately pressures domestic companies to look toward global markets; however, domestic rivalry is precisely the condition that helps make international success possible.
In fact, though, most such heavily subsidized and protected champions are uncompetitive internationally, for they fail to benefit from domestic rivalry, which spurs companies to lower costs, improve quality and service, and create new products and processes. Unlike rivalries with foreign competitors, which tend to be abstract and distant, domestic rivalries involve direct competition for talented employees, for technical excellence, and for quantifiable success. Domestic competition automatically cancels the types of advantage that come from simply being in a particular nation-labor and supply costs, or access to and preference in the home market-and forces companies to develop other advantages. True, vigorous domestic competition ultimately pressures domestic companies to look toward global markets; however, domestic rivalry is precisely the condition that helps make international success possible.
1. The last sentence of the passage can be most accurately characterized as pointing out the
A. dangers of rejecting conventional wisdom on a subject
B. costs that accompany a certain course of action
C. problems that will arise unless certain reforms are undertaken
D. benefit inherent in an apparently disadvantageous situation
E. usefulness of one strategy for attaining two different goals
2. The author of the passage suggests that the economists mentioned in the highlighted text err by doing which of the following?
A. Failing to consider the ways in which domestiv rivalry can increase a company's ability to compete internationally
B. Underestimating the detrimental effects of domestic rivals' duplication of efforts
C. Overlooking the fact that some governments may be unable to provide significant assistance to companies
D. Overestimating the need for companies to lower costs in order to compete effectively in international markets
E. Incorrectly identifying the types of competitive advantage that accrue to a business from being in a particular nation
A. Failing to consider the ways in which domestiv rivalry can increase a company's ability to compete internationally
B. Underestimating the detrimental effects of domestic rivals' duplication of efforts
C. Overlooking the fact that some governments may be unable to provide significant assistance to companies
D. Overestimating the need for companies to lower costs in order to compete effectively in international markets
E. Incorrectly identifying the types of competitive advantage that accrue to a business from being in a particular nation
3. The primary purpose of the passage is to
A. explain the conditions that lead to increased domestic competition within an industry
B. contrast the adverse effects of international competition with those of domestic competition
C. recommend that governments institute policies designed to support and protect a nation's companies
D. point out the advantages and disadvantages of domestic competition within an industry
E. counter a particular view concerning the effect of domestic competition on a country's international competitiveness
A. explain the conditions that lead to increased domestic competition within an industry
B. contrast the adverse effects of international competition with those of domestic competition
C. recommend that governments institute policies designed to support and protect a nation's companies
D. point out the advantages and disadvantages of domestic competition within an industry
E. counter a particular view concerning the effect of domestic competition on a country's international competitiveness
24 Jul 2024, 07:42
Kudos
Bookmarks
1. The last sentence of the passage can be most accurately characterized as pointing out the
A. dangers of rejecting conventional wisdom on a subject. Incorrect. Danger of rejecting the conventional wisdom is not discussed.
B. costs that accompany a certain course of action. Incorrect. There is no discussion on cost to any action.
C. problems that will arise unless certain reforms are undertaken. Incorrect. No discussion on reforms and respective problem
D. benefit inherent in an apparently disadvantageous situation. Correct. Benefit of domestic competition. Disadvantageous situation : vigorous domestic competition ultimately pressures domestic companies
E. usefulness of one strategy for attaining two different goals. Incorrect. No different goals discussed.
A. dangers of rejecting conventional wisdom on a subject. Incorrect. Danger of rejecting the conventional wisdom is not discussed.
B. costs that accompany a certain course of action. Incorrect. There is no discussion on cost to any action.
C. problems that will arise unless certain reforms are undertaken. Incorrect. No discussion on reforms and respective problem
D. benefit inherent in an apparently disadvantageous situation. Correct. Benefit of domestic competition. Disadvantageous situation : vigorous domestic competition ultimately pressures domestic companies
E. usefulness of one strategy for attaining two different goals. Incorrect. No different goals discussed.
12 Oct 2024, 03:19
Kudos
Bookmarks
Please help with question 2 of the passage: The author of the passage suggests that the economists mentioned in the highlighted text err by doing which of the following?
