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# QOTD: In order to maintain the competitive edge our company

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MBA Section Director
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QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 08:37
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44% (01:54) correct 56% (03:01) wrong based on 643 sessions

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Verbal Question of The Day: Day 47: Critical Reasoning

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In order to maintain the competitive edge our company has gained through extensive research, decades of experience, and development of innovative methods, we must ensure that information security remains a top priority. The information stored on our networks, such as research data, training materials, and company memos, could potentially be very valuable to competitors and foreign governments alike. In order to safeguard this information, we require that all employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones. Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences.

If the statements above are all true, which of the following can properly be inferred on the basis of them?

(A) Competitors and foreign governments might be able to use the company's laptops to access information stored on its networks.

(B) Employees who repeatedly fail to comply with the password and data encryption policies will most likely face termination.

(C) The company competes, either directly or indirectly, with at least one foreign government.

(D) Employees who have not yet completed the training course detailing steps to avoid theft or loss of company issued physical assets are likely to have their their laptops or mobile phones stolen.

(E) Employees use company issued physical assets, such as laptops and mobile phones, to store research data, training materials, and company memos.

Every question of the day will be followed by an expert reply by GMATNinja in 12-15 hours. Stay tuned! Post your answers and explanations to earn kudos.

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QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 08:38
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Employees who fail to comply with the company's strict password and data encryption policies or who fail to follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences. Why?

• The information stored on the company's networks, such as research data, training materials, and company memos, could potentially be very valuable to competitors and foreign governments alike. Okay, but why not let competitors and foreign governments access that valuable information?
• "In order to maintain the competitive edge our company has gained through extensive research, decades of experience, and development of innovative methods" - ah, okay... the company has done a lot of work to acquire this information and develop a competitive edge. If that information is compromised, the company will lose its competitive edge.
• So it makes sense that this company needs to "ensure that information security remains a top priority," but how?--by requiring "that all employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones."
• So we've established WHAT information the company wants to protect, WHY the company wants to protect that information, and HOW it goes about protecting that information (i.e. policies and training). Employees who fail to comply with the policies and training will face stern consequences.

Now, if the statements in the passage are all true, which of the answer choices can properly be inferred on the basis of them?

(A) Employees must complete a training course detailing steps to avoid theft or loss of company-issued physical assets (such as laptops) in order to safeguard the information stored on the company's networks (such as research data, training materials, and company memos). If there was no way for competitors and foreign governments to use the company's laptops to access information stored on the company's networks, then theft or loss of those laptops would not compromise that information. In that case, requiring that employees complete the training course would NOT help the company safeguard the information stored on the its networks. Thus, it follows that "competitors and foreign governments might be able to use the company's laptops to access information stored on its networks. (A) looks good.

(B) We only know that the employees will face stern consequences if they fail to comply with the password and data encryption policies or fail to follow the steps described in the training course. We do NOT know what those consequences would be (i.e. reduction in pay or bonuses, loss of vacation time, demotion, etc.). (B) can be eliminated.

(C) We know that the company's information would be valuable to foreign governments, but we don't know WHY. If at least one foreign government would use that information to somehow compete with the company, then (C) would be true. However, perhaps the governments will simply benefit from that information without competing with the company. For example, it is possible that a foreign government purchases products or services from the company and would NOT need to do so if the government had free access to the company's information. (C) can be eliminated.

(D) We can't say whether employees who have not yet completed the training are likely to have their assets stolen. Perhaps it is very unlikely that employees will have their assets stolen, even before completing the training. The training might simply decrease the already low probability of loss or theft. (D) can be eliminated.

(E) If employees do in fact store such information on company-issued laptops and mobile phones, then the company would certainly want to avoid loss or theft of those assets. However, even if employees do not store ANY such information on those devices and simply use those devices to access sensitive information on the company's networks, the company would still want to protect those assets from loss or theft. We cannot infer choice (E) based on the information in the passage alone, so (E) must be eliminated.

This leaves choice (A) as the best option.
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 08:59
souvik101990 wrote:

Verbal Question of The Day: Day 47: Critical Reasoning

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In order to maintain the competitive edge our company has gained through extensive research, decades of experience, and development of innovative methods, we must ensure that information security remains a top priority. The information stored on our networks, such as research data, training materials, and company memos, could potentially be very valuable to competitors and foreign governments alike. In order to safeguard this information, we require that all employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones. Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences.

If the statements above are all true, which of the following can properly be inferred on the basis of them?

(A) Competitors and foreign governments might be able to use the company's laptops to access information stored on its networks.

(B) Employees who repeatedly fail to comply with the password and data encryption policies will most likely face termination.

(C) The company competes, either directly or indirectly, with at least one foreign government.

(D) Employees who have not yet completed the training course detailing steps to avoid theft or loss of company issued physical assets are likely to have their their laptops or mobile phones stolen.

(E) Employees use company issued physical assets, such as laptops and mobile phones, to store research data, training materials, and company memos.

Every question of the day will be followed by an expert reply by GMATNinja in 12-15 hours. Stay tuned! Post your answers and explanations to earn kudos.

Between A and D, I will go for A (Fingers crossed)
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 09:03
1
In order to maintain the competitive edge our company has gained through extensive research, decades of experience, and development of innovative methods, we must ensure that information security remains a top priority. The information stored on our networks, such as research data, training materials, and company memos, could potentially be very valuable to competitors and foreign governments alike. In order to safeguard this information, we require that all employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones. Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences.

If the statements above are all true, which of the following can properly be inferred on the basis of them?

(A) Competitors and foreign governments might be able to use the company's laptops to access information stored on its networks. - not sure as they are password protected, hence can not be properly inferred.

(B) Employees who repeatedly fail to comply with the password and data encryption policies will most likely face termination. - not necessary as stern consequences could mean anything - termination is not explicitly mentioned.

(C) The company c[color=#ff0000]ompetes, either directly or indirectly, with at least one foreign government.[/color] - this is tricky, however stem says that it is at risk with competitors and foreign govt. alike - can't say that foreign govt. is also a competitor

(D) Employees who have not yet completed the training course detailing steps to avoid theft or loss of company issued physical assets are likely to have their their laptops or mobile phones stolen. - while this can be true, it is not necessary all the time. and other's can also lose.

(E) Employees use company issued physical assets, such as laptops and mobile phones, to store research data, training materials, and company memos. - this can be properly inferred as it is known that the research data, etc. are confidential and valuable information and employees need to protect the physical assets from being stolen to protect the info- hence the data is stored on the company issued physical assets - can be properly inferred.

IMO E is the right answer.

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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 09:23
E clearly can be inferred...as per the sentence ALL employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones.
The bold shows that all employees store data on company's assets

In order to maintain the competitive edge our company has gained through extensive research, decades of experience, and development of innovative methods, we must ensure that information security remains a top priority. The information stored on our networks, such as research data, training materials, and company memos, could potentially be very valuable to competitors and foreign governments alike. In order to safeguard this information, we require that all employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones. Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences.

If the statements above are all true, which of the following can properly be inferred on the basis of them?

(A) Competitors and foreign governments might be able to use the company's laptops to access information stored on its networks.

(B) Employees who repeatedly fail to comply with the password and data encryption policies will most likely face termination.

(C) The company competes, either directly or indirectly, with at least one foreign government.

(D) Employees who have not yet completed the training course detailing steps to avoid theft or loss of company issued physical assets are likely to have their their laptops or mobile phones stolen.

(E) Employees use company issued physical assets, such as laptops and mobile phones, to store research data, training materials, and company memos.
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 09:48
Hi Experts

E appears to be trap answer here. My guess is E is more of an assumption on which these following 2 statements depends.

The information stored on our networks, such as research data, training materials, and company memos, could potentially be very valuable to competitors and foreign governments alike. In order to safeguard this information, we require that all employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones.

A looks to me justified here as this can be inferred from the information. Am I thinking correctly?
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QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 10:21
Is there a typo? Shouldn't it be 'did not follow'?

Quote:
Employees who fail to comply with those policies and follow the steps described in the training courseare compromising the security of the company's intellectual property and will face stern consequences.

For the argument, I feel it is E?

souvik101990 wrote:

Verbal Question of The Day: Day 47: Critical Reasoning

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In order to maintain the competitive edge our company has gained through extensive research, decades of experience, and development of innovative methods, we must ensure that information security remains a top priority. The information stored on our networks, such as research data, training materials, and company memos, could potentially be very valuable to competitors and foreign governments alike. In order to safeguard this information, we require that all employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones. Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences.

If the statements above are all true, which of the following can properly be inferred on the basis of them?

Quote:
(A) Competitors and foreign governments might be able to use the company's laptops to access information stored on its networks. -
Close contender. I feel this is a trap option. What if the laptop data is already encrypted by a diligent employee. In that case, the inference doesn't stand true since competitors won't be able to use the data stored on the laptop.

Quote:
(B) Employees who repeatedly fail to comply with the password and data encryption policies will most likely face termination. -
We know that they will face stern consequences but we don't know what those consequences will be. Hence we can't infer it to be termination.

Quote:
(C) The company competes, either directly or indirectly, with at least one foreign government. -
Not necessarily true.

Quote:
(D) Employees who have not yet completed the training course detailing steps to avoid theft or loss of company issued physical assets are likely to have their their laptops or mobile phones stolen. -
Not necessarily true.

Quote:
(E) Employees use company issued physical assets, such as laptops and mobile phones, to store research data, training materials, and company memos. -
Correct. This makes sense. Since the data is stored on physical assets, company wants its employees to undergo the training and safeguard the data by means of data encryption and password protection.

IMO - Option (E)
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 10:54
Imo E

Only E can be properly inferred from the argument and is 100 % correct .
I trick to solve such question is to look for a broader and very boring answer as suggested by
https://www.manhattanprep.com/gmat/blog/author/ccooley/
https://www.manhattanprep.com/gmat/blog ... reasoning/
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 11:25
In order to maintain the competitive edge our company has gained through extensive research, decades of experience, and development of innovative methods, we must ensure that information security remains a top priority.

The information stored on our networks, such as research data, training materials, and company memos, could potentially be very valuable to competitors and foreign governments alike.

In order to safeguard this information, we require that all employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones. Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences.

Guys - please help me here, In the argument it is clearly written that information is stored on our networks - how can we infer that these info is physically stored on laptop. Rather why can't we say that laptop is used to connect to network that has important info

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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 11:29
Leo8 wrote:
In order to maintain the competitive edge our company has gained through extensive research, decades of experience, and development of innovative methods, we must ensure that information security remains a top priority.

The information stored on our networks, such as research data, training materials, and company memos, could potentially be very valuable to competitors and foreign governments alike.

In order to safeguard this information, we require that all employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones. Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences.

Guys - please help me here, In the argument it is clearly written that information is stored on our networks - how can we infer that these info is physically stored on laptop. Rather why can't we say that laptop is used to connect to network that has important info

I dont think it will affect the conclusion in any way .
If the employees are not careful they can loose date by connecting to the network or loose stored data on laptops.
Hope it helps
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 11:35
Leo8 wrote:
In order to maintain the competitive edge our company has gained through extensive research, decades of experience, and development of innovative methods, we must ensure that information security remains a top priority.

The information stored on our networks, such as research data, training materials, and company memos, could potentially be very valuable to competitors and foreign governments alike.

In order to safeguard this information, we require that all employees adhere to strict password and data encryption policies and complete a training course detailing steps to avoid theft or loss of company-issued physical assets, such as laptops and mobile phones. Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences.

Guys - please help me here, In the argument it is clearly written that information is stored on our networks - how can we infer that these info is physically stored on laptop. Rather why can't we say that laptop is used to connect to network that has important info

Leo. You can VPN into the company network from anywhere in the world. If you don't follow strong encryption and authentication policies then there could be "man-in-the-middle" attack and hackers could use your data using various techniques. This is true in a real world scenario and also from the standpoint of the argument.

Posted from my mobile device
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 11:37
1
Argument states that
"The information stored on our networks, such as research data, training materials, and company memos...." & "Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences."
data, materials and memos are stored on company's network not physical assets such as laptops or mobiles. So in my opinion E is out based on this fact. We cannot deny the given fact as stated in E " data stored on laptops, cell etc"

Choice A - Competitors and foreign governments might be able to use the company's laptops to access information stored on its networks also supports the conclusion of the argument that Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property - How? because Competitors might use laptops to access company data and thus employees compromise the security of IP.
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 22:15
Firdaus wrote:
Argument states that
"The information stored on our networks, such as research data, training materials, and company memos...." & "Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences."
data, materials and memos are stored on company's network not physical assets such as laptops or mobiles. So in my opinion E is out based on this fact. We cannot deny the given fact as stated in E " data stored on laptops, cell etc"

Choice A - Competitors and foreign governments might be able to use the company's laptops to access information stored on its networks also supports the conclusion of the argument that Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property - How? because Competitors might use laptops to access company data and thus employees compromise the security of IP.

-------

The competitors might use company's laptop to access the data on the network. Does it mean the network cannot be accesed via personal computer? How and why?
Can you please tell why option C is wrong?
Thank you!
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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04 Jul 2017, 23:09
Chef wrote:
Firdaus wrote:
Argument states that
"The information stored on our networks, such as research data, training materials, and company memos...." & "Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property and will face stern consequences."
data, materials and memos are stored on company's network not physical assets such as laptops or mobiles. So in my opinion E is out based on this fact. We cannot deny the given fact as stated in E " data stored on laptops, cell etc"

Choice A - Competitors and foreign governments might be able to use the company's laptops to access information stored on its networks also supports the conclusion of the argument that Employees who fail to comply with those policies and follow the steps described in the training course are compromising the security of the company's intellectual property - How? because Competitors might use laptops to access company data and thus employees compromise the security of IP.

-------

The competitors might use company's laptop to access the data on the network. Does it mean the network cannot be accessed via personal computer? How and why?
Can you please tell why option C is wrong?
Thank you!

Dear,
In Inference we only consider information given in passage. We cannot bring outside info to justify our answer choice. Please read b/w the lines of argument. It clearly states data is stored in our network. Is it written anywhere that Companys Network consists of physical assets? No.

Regarding C
The company competes, either directly or indirectly, with at least one foreign government.

Ans: Argument doesn't states that company competes with one or more foreign govs. It just says that info stored in networks may be valuable to competitors and governments. further company is not competing with governments.
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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05 Jul 2017, 01:07
I went with E for the above question, can someone please provide a feedback.
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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05 Jul 2017, 04:45
can someone please explain why Option E is incorrect.
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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05 Jul 2017, 05:13
1
can someone please explain why Option E is incorrect.

The text: The information stored on our networks, such as research data, training materials, and company memos (...)

Option E: Employees use company issued physical assets, such as laptops and mobile phones, to store research data, training materials, and company memos.

The information is stored on the company networks, not on the physical assets, as is incorrectly implied by option E.

Option A is right because competitors and foreign governments might be able to access the networks via the physical assets, hence the password & data encryption policies and the training provided to the employees to safeguard the information.
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QOTD: In order to maintain the competitive edge our company [#permalink]

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05 Jul 2017, 11:32
(E) doesn't specify anything about where the data is stored, just that those devices are used to store it.
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QOTD: In order to maintain the competitive edge our company [#permalink]

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05 Jul 2017, 14:20
1
We have been asked to find out which of the following answer options can be inferred from the passage.

Option B can be eliminated because the company does not talk about termination of employees.
It only talks about facing stern consequences.

Option C
is not something that can be inferred
(as the argument talks about information being necessary for the foreign government, which may
not necessarily be a competitor)

Option D can also be eliminated because there is no such mention in the argument.

The reason why Option A is a better choice is because
Option E talks about the employees using the company's devices
to store the information(which could be be potentially dangerous if leaked to the outside world)
But, the argument clearly states that the information is stored on their networks.
Laptops and mobile phones which are issued to the employees, are merely devices used to
access the data available in the company's network.
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Re: QOTD: In order to maintain the competitive edge our company [#permalink]

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05 Jul 2017, 15:17
Both (A) and (E) boil down to some entity using the company's devices to access/store data on the network.

Some people are reading (E) to mean that the data is stored locally but no such implication exists.

As stated, I think both (A) and (E) are fine, but given that we're forced to pick the best answer, employees using the company's devices is a boring, unimaginative, and pretty much bulletproof inference.
Re: QOTD: In order to maintain the competitive edge our company   [#permalink] 05 Jul 2017, 15:17

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