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Please rate my AWA - GMAT a week away and I am lost!

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Joined: 07 Oct 2010
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Please rate my AWA - GMAT a week away and I am lost! [#permalink]

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New post 21 Oct 2010, 07:18

Pasting analysis of two issues and two arguments. It would be great if you can provide your valuable feedback as this will help me improve on my weak areas. i have gone thru the guide for perfect score in AWA and tried to imbibe it but i dont see much improvement.

Analysis of Argument - 1

The following is a recommendation from the manager of Family Friendly Restaurant:
“ Family Friendly Restaurant needs to improve its facility to remain competitive in our city ’ s restaurant market. Mega-Family Restaurant, recently opened in a suburb of our city, offers a video arcade, fine wood furniture, and seven big-screen televisions. Due to a recession in our town, people report having less discretionary income for eating out. Therefore, if we are to hold our share of a shrinking restaurant market, we need to offer at least all of the features of Mega-Family Restaurant. ”
Discuss how well-reasoned.....

The argument states that the Family Friend Restaurant needs to improve it's facilities comparable to those of Mega-Family Restaurant in order to remain competitive in the market. This argument is based on premises that are not well substantiated. Also, some assumptions are made that if wrong can render the argument invalid.

Firstly, the manager of the restaurant says that they need to improve the facilities in order to be competitive. He then compares the current facility of Family Friend to Mega-Family. Stated this way the writer implies that the facilities are very important, especially on the lines offered by Mega-Family, to attract certain class of customers. This statement although true is a little extrapolated. Food is the primary basis on which a restaurant is judged, other facilities are always secondary. In that case if Family Friend is famous for its delicacies then it has fewer reasons to worry. Video arcades are no substitute for food.

Secondly, the manager claims that since it is recessionary times people will prefer going to cheaper restaurant. But there is no indication that Mega-family is cheaper. Also, given that Mega-Family is newly constructed the prices ideally will be a little on the higher side as the owner of the place would like to break even as quickly as possible.

Thirdly considering the fact that Mega-Family is in the suburbs the travel time will considerably increase for the customers with the exception of the nearby localities. Given the known fact that people in the cities are always on short leash with respect to time this is another reason that invalidates the manager concerns. The constraints on time also reduces the important of TV screens and video arcades.

Finally, there is no indication in the argument that Mega-Family is actually doing well with its polished ambience. The argument on the face of it looks only like some statements made by a person wary of new entrants as the status quo is disturbed. The argument would have sounded more convincing if data was given about the performance of the Family Friend Restaurant and compared with that of other restaurants including Mega-Family Restaurant. Comparing the existing restaurant with other existing rivals give a better picture about it's standing. Further, it is also not established if these two restaurants are competing for the same customer segment. If Mega-Family is eying on high school kids where as Family-Friend serves the working parents the comparison is completely inappropriate.

To conclude, the argument will become better if the writer is able to point out certain commonalities between the two restaurants and then compare on those parameters.Also, a cause analysis of the factors is needed because of which the market size for family-friend is shrinking.

Analysis of Argument - 2

Last summer saw a 500% increase in tourism at the seaside resort, and the national economic situation is even more favorable this year. This summer ’ s tourist boom will surely generate record revenues which will resolve the area ’ s economic difficulties.

Explain how logically persuasive you...

The writer states that increase in tourism will lead to improvement of the the economic condition of a particular area. He supports his conclusion by quoting previous year's data where due to increase in tourism by 500% the national economic condition became favorable. Stated this way the argument depicts a causal relation between the growth rate of number of tourists visiting a nation and the economic prosperity of that nation. This conclusion is based on very weak premise and unsubstantiated assumptions.

Firstly, the author says that there was a 500% increase in tourism at the seaside resort. This increase was in a specific resort (may be a few resorts) but not all. Thus to say that this increase of tourism led to a better economic condition is far fetched since a couple of resorts will not have a strong impact on the nation's economy. Even if the author is talking about a small city or a town the impact of increase in footfall in one resort will not alleviate the economic conditions of all the other residents. One booming business do not result in booming of all the other businesses too. For instance if there are other industries like a plastic molding or a computer chips manufacturing plant the increase in number of visitors will not drive the sales of such items. Tourists are seldom interested in buying the routine products.

Secondly, there is no mention that the increase led to increase in profits. It may be possible that the costs also increased alongwith the revenues and hence the profits remain constant or worse they fell. Thus to say that I have more customers today is not equivalent to saying that I made more profit today. In case the profit remains constant or fall, the improvement in economic conditions proves that the increase in number of tourists have nothing to do with it. This is completely opposite to writer's claim and highlights the flaw in his reasoning.

Moreover, the increase in number of tourists in a resort can be due to certain offers that were able to entice tourists that would otherwise not go to a seaside resort. Thus it may be possible that the number of tourist visting the area are actually the same but instead of going to other resort they chose the seaside resort for their stay.

Lastly, there is an implicit assumption that tourism is the main industry of that area and hence it has the capability to impact the economy. What if tourism is not the mainstay of that area? There is always a possiblity that certain months in a year have a great weather which attract people from near by cities to spend a weekend in the area. This does not imply that tourisms drive the economy of the area. It is very well possible that the majority of the population is into agriculture or into mining. In that case tourism is just a side business and definitely will not define the trends of the economy.

Hence the conclusion that the increase in tourism is the only reason for favorable economic condition is a faulty one.The author needs to provide more specific data before he can conclude that the increase is solely responsible for the better economic condition. Data pertaining to the main business of the people, the size of the area, previous year's trend of tourists and their impact on the revenue will help in making the argument more sound.
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New post 21 Oct 2010, 07:20
Analysis of Issue - 1

“ Employees respond best to monetary compensation. No incentive will engender better performance than a raise in salary or a big bonus for a job well done. ”
From your perspective, is this an accurate observation? Why or why not? Explain, using reasons and/or examples from your experience, observations, and reading

The issue talks about improving employee performance by giving monetary compensation. It goes on saying that money is the best motivator. Some people on the other hand believe that although money is important, appreciation and recognition of the work is far more important. If an employee is doing his / her job well he should be made feel valuable to the company. I agree with the latter view point based on a couple of observations made in and around my work place.

Firstly, if a person likes a particular kind of role he / she would ensure that he / she are doing it properly. This good performance can be converted to better and then best by recognizing the efforts of the employee. Recognition can be when the director of that department personally presents a certificate to that employee in front of the entire floor. This gives huge boost to the morale of the employee because not only are his / her efforts rewarded but are appreciated in front of the entire group. This would ensure that the employee continue working better and will also creates peer pressure among his / her colleagues to do equally good. A hefty bonus in the account at the year end though is nice for Christmas shopping does not do much good as no one else is aware of the fact that you have done a great job. And it is definitely not contagious. In one of the companies, every month there are spot wards for the employees who have performed really well and this simple certificate ensures high level of motivation from the entire department. It has proven to be a far better technique then year end bonuses.

Secondly, if the company takes personal interest in the career of it's employee then it is in better position to receive benefits from the employees effort. If company recognizes the person's effort by giving him a role that he / she desires for, it earns the respect and the loyalty of that employee. This ensures a far better performance than money can instigate. For instance Jack Welch used to personally congratulate the best performers of the year. This simple gesture won him accolades from his colleagues and subordinates and improved the performance of all the employees of the company.

Though it is true that money is a hygiene factor to pull good talent and is required to live a particular standard of life. Beyond this it is of no use. Like it is said, "Money cannot buy happiness." It is more important for a person to feel that he / she is appreciated and valued. There is more satisfaction in doing a great job at a work you love rather than doing a good job at a something you dislike.
Re: Please rate my AWA - GMAT a week away and I am lost!   [#permalink] 21 Oct 2010, 07:20
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Please rate my AWA - GMAT a week away and I am lost!

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