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# Gamification (the trend of applying video game mechanics

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Intern
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Joined: 15 Sep 2014
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Gamification (the trend of applying video game mechanics  [#permalink]

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09 Dec 2017, 10:00
Question 1
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based on 25 sessions

64% (03:11) correct 36% (01:37) wrong

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Question 2
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based on 22 sessions

55% (01:20) correct 45% (02:11) wrong

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Question 3
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Gamification (the trend of applying video game mechanics such as points and achievements to non-gaming work processes such as innovation, training, and employee performance) is increasingly being used by organizations, with many realizing significantly improved performance and increased profitability as a result. Michael Wu sees significant potential for increased corporate performance through gamification of processes, but expresses a concern that gamification could also result in decreased employee performance over time. Gamified processes can create a short-term increase in performance and productivity as employees seek to earn points and badges, but eventually the employees, like even the most avid gamers, would grow bored with playing and move on. Furthermore, a danger inherent in the gamification of processes is the so-called “moral hazard” of game play--that people will become focused on the extrinsic rewards and mechanics of the game play rather than on the intrinsic rewards to be gained by participating in the activity. As a result, a corporation might become significantly more efficient and profitable as a result of gamifying its internal processes, while at the same time its employees become gradually less motivated by the intrinsic rewards of their work as well as developing a stronger expectation for external rewards that increase over time.

Wu argues that in order for companies to successfully employ gamification, they must develop a strategy to make it sustainable over the long term, such as tying extrinsic rewards to specific intrinsic benefits that have long-term value to the individual, or using the gamification process only long enough to discover each employee''s intrinsic motivations and develop new reward systems that address each employee individually. Focusing narrowly on gamification, while offering a significant opportunity for businesses to increase efficiency and profitability over the short term, may ironically result in decreased employee performance and corporate earnings over the long term.

Q1) The primary purpose of the passage is to

A) suggest a potential alternative to a business strategy that may result in a lack of employee motivation

B) demonstrate that a specific business strategy will not be successful over the long run

C) explain why intrinsic motivations are more important to employee performance than extrinsic rewards are

D) describe the dangerous moral implications of a particular business strategy

E) explain concerns about the potential effects of implementing a specific business strategy

Q2) The passage implies that which of the following is a potential consequence of a company's implementation of gamification processes?

A) A company that does not see improvements in efficiency or increases in profitability as a result of gamification may have little reason to continue implementing such processes.

B) Employees with little or no previous exposure to game-style processes could find the gamified process to be confusing, leading to less employee motivation and reduced morale.

C) In order to continue to see results from a gamified process over a longer term, the company may need to adjust the gamification process by implementing increases in the extrinsic rewards provided to employees.

D) The increased profits generated by the company as a result of the implementation of the gamification process might be reinvested in other, non-gamified areas of the company, with no guarantee that gamification processes will result in additional future performance improvements.

E) The company will become significantly more efficient and profitable over the long term, while its employees gradually lose motivation.

Q3) According to the passage, which of the following is a possible effect of gamifying a company process?

A) Giving employees the opportunity to treat work like a game and earn points and badges would lead to improved company morale.

B) Company employees who are avid gamers would earn more rewards than those who are not, because they are familiar with the process of earning points and badges.

C) The employees would expect increasing intrinsic rewards the longer they participate in the system, and would gradually lose motivation if such rewards were not periodically increased.

D) After a time, employees may lose interest in competing in the system to earn rewards, and choose to focus instead on other aspects of work.

E) The improvements in productivity and profitability may cause the company to implement gamification processes in a more widespread manner throughout the company.

Magoosh GMAT Instructor
Joined: 30 Oct 2017
Posts: 201
Re: Gamification (the trend of applying video game mechanics  [#permalink]

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10 Dec 2017, 20:25
1
Happy to help! Here's how I would approach this

Praneta Priyati wrote:
Q1) The primary purpose of the passage is to

The passage here is talking about the idea of using gamification as a business strategy to improve strategy. However, overall the author of the passage seems cautious about gamification, pointing out several potential problems with applying it. So the primary purpose here seems to fit best with choice E: explain concerns about the potential effects of implementing a specific business strategy.

Choice A doesn't fit, because the author is not suggesting a specific alternative to gamification. Choice B doesn't align perfectly -- the author doesn't go so far as to say that gamification will not be successful in the long run, just that it needs to be implemented in specific ways in order to be successful. Choices C and D are not discussed in the passage in any real detail.

Praneta Priyati wrote:
Q2) The passage implies that which of the following is a potential consequence of a company's implementation of gamification processes?

I think the best choice here is C:

C) In order to continue to see results from a gamified process over a longer term, the company may need to adjust the gamification process by implementing increases in the extrinsic rewards provided to employees.

This is supported by this part of the passage, at the end of the first paragraph: "its employees become gradually less motivated by the intrinsic rewards of their work as well as developing a stronger expectation for external rewards that increase over time."

So over time, employees might expect increasing external rewards. That means that to keep seeing results from implementing a gamified process, the company will need to increase the extrinsic rewards.

Praneta Priyati wrote:
Q3) According to the passage, which of the following is a possible effect of gamifying a company process?

The best choice here is D:

D) After a time, employees may lose interest in competing in the system to earn rewards, and choose to focus instead on other aspects of work.

That's supported by this part in the first paragraph: "eventually the employees, like even the most avid gamers, would grow bored with playing and move on". That implies that eventually the employees will lose interest in playing the game, and move on to focus on other aspects of their work.

-Carolyn
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Joined: 15 Sep 2014
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Re: Gamification (the trend of applying video game mechanics  [#permalink]

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11 Dec 2017, 06:41
Thanks

MagooshExpert wrote:
Happy to help! Here's how I would approach this

Praneta Priyati wrote:
Q1) The primary purpose of the passage is to

The passage here is talking about the idea of using gamification as a business strategy to improve strategy. However, overall the author of the passage seems cautious about gamification, pointing out several potential problems with applying it. So the primary purpose here seems to fit best with choice E: explain concerns about the potential effects of implementing a specific business strategy.

Choice A doesn't fit, because the author is not suggesting a specific alternative to gamification. Choice B doesn't align perfectly -- the author doesn't go so far as to say that gamification will not be successful in the long run, just that it needs to be implemented in specific ways in order to be successful. Choices C and D are not discussed in the passage in any real detail.

Praneta Priyati wrote:
Q2) The passage implies that which of the following is a potential consequence of a company's implementation of gamification processes?

I think the best choice here is C:

C) In order to continue to see results from a gamified process over a longer term, the company may need to adjust the gamification process by implementing increases in the extrinsic rewards provided to employees.

This is supported by this part of the passage, at the end of the first paragraph: "its employees become gradually less motivated by the intrinsic rewards of their work as well as developing a stronger expectation for external rewards that increase over time."

So over time, employees might expect increasing external rewards. That means that to keep seeing results from implementing a gamified process, the company will need to increase the extrinsic rewards.

Praneta Priyati wrote:
Q3) According to the passage, which of the following is a possible effect of gamifying a company process?

The best choice here is D:

D) After a time, employees may lose interest in competing in the system to earn rewards, and choose to focus instead on other aspects of work.

That's supported by this part in the first paragraph: "eventually the employees, like even the most avid gamers, would grow bored with playing and move on". That implies that eventually the employees will lose interest in playing the game, and move on to focus on other aspects of their work.

-Carolyn
Intern
Joined: 04 Sep 2011
Posts: 14
Re: Gamification (the trend of applying video game mechanics  [#permalink]

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13 Feb 2018, 06:37
This passage is easier one compared to most of typical RC passages of GMAT
one should not be reading not even 3 to 4 sentences in this passage and should not spend more than 1.5 minute

First Paragraph
Topic: Gamification
why Author writing this paragraph : Gamification is increasingly used by organizations for improved performance.
CHANGE in IDEA: Moral Hazard, only short term performance improvements

Second Paragraph :
Topic: Wu tries to suggest strategy to make gamification a successful strategy
Why Auth writing this paragraph: author presenting a concern

These should be the summary, and the entire passage should be read in 1 minute to 1.5 minute.

Also see my post for tips of reading RC: Reading comprehension Structural approach
MBA Section Director
Affiliations: GMATClub
Joined: 22 May 2017
Posts: 1964
Concentration: Nonprofit
GPA: 4
WE: Engineering (Computer Software)
Re: Gamification (the trend of applying video game mechanics  [#permalink]

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22 Dec 2018, 21:15

+1 kudos to the posts containing answer explanations of all questions

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Re: Gamification (the trend of applying video game mechanics  [#permalink]

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23 Dec 2018, 10:54
Q1) The primary purpose of the passage is to

A) suggest a potential alternative to a business strategy that may result in a lack of employee motivation - Inconsistent. The author shows more concern rather than the alternative

B) demonstrate that a specific business strategy will not be successful over the long run - Inconsistent

C) explain why intrinsic motivations are more important to employee performance than extrinsic rewards are - out of scope

D) describe the dangerous moral implications of a particular business strategy - extreme

E) explain concerns about the potential effects of implementing a specific business strategy - In the whole passage, the author is showing concern about the gamification

Q2) The passage implies that which of the following is a potential consequence of a company's implementation of gamification processes?

A) A company that does not see improvements in efficiency or increases in profitability as a result of gamification may have little reason to continue implementing such processes. - Inconistent. There may be other possible reasons

B) Employees with little or no previous exposure to game-style processes could find the gamified process to be confusing, leading to less employee motivation and reduced morale. - out of scope

C) In order to continue to see results from a gamified process over a longer term, the company may need to adjust the gamification process by implementing increases in the extrinsic rewards provided to employees. - that is the alternative as told by the author

D) The increased profits generated by the company as a result of the implementation of the gamification process might be reinvested in other, non-gamified areas of the company, with no guarantee that gamification processes will result in additional future performance improvements. - out of scope

E) The company will become significantly more efficient and profitable over the long term, while its employees gradually lose motivation. - inconsistent, over the long run it will decline

Q3) According to the passage, which of the following is a possible effect of gamifying a company process?

A) Giving employees the opportunity to treat work like a game and earn points and badges would lead to improved company morale. - inconsistent. not company morale but the employee morale

B) Company employees who are avid gamers would earn more rewards than those who are not, because they are familiar with the process of earning points and badges. - out of scope

C) The employees would expect increasing intrinsic rewards the longer they participate in the system, and would gradually lose motivation if such rewards were not periodically increased. - inconsistent. not stated in the passage

D) After a time, employees may lose interest in competing in the system to earn rewards, and choose to focus instead on other aspects of work. - as stated in the passage

E) The improvements in productivity and profitability may cause the company to implement gamification processes in a more widespread manner throughout the company. - Inconsistent. not stated
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Re: Gamification (the trend of applying video game mechanics &nbs [#permalink] 23 Dec 2018, 10:54
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