Directions How to Answer

Aptitude Test Topic: Critical or Logical Reasoning

Critical reasoning questions test your ability to analyze logical arguments. The arguments cover a range of topics and situations which average GMAT-takers would be expected to be able to understand, even if they are not very familiar with the subject area.

Directions

Analyze the information on which each question is based, and then choose the most appropriate of the answer choices.

To give the answer click/tap the option alphabet for your answer choice. for correct answer green check and for wrong answer a red cross will appear along with a button to show explanation with or without video of the question answer.

Critical or Logical Reasoning: Critical or Logical Reasoning Practice MCQ

Question Statement:

One way to judge the performance of a company is to compare it with other companies. This technique, commonly called "bench marking," permits the manager of a company to discover better industrial practices and can provide a justification for the adoption of good practices.

Any of the following, if true, is a valid reason for bench marking the performance of a company against companies with which it is not in competition rather than against competitors EXCEPT:

Comparisons with competitors are most likely to focus on practices that the manager making the comparisons already employs.

Getting "inside" information about the unique practices of competitors is particularly difficult.

Since companies that compete with each other are likely to have comparable levels of efficiency, only benchmarking against non competitors is likely to reveal practices that would aid in beating competitors.

Managers are generally more receptive to new ideas that they find outside their own industry.

Much of the success of good companies is due to their adoption of practices that take advantage of the special circumstances of their products or markets.

Explanation:

Correct Answer: E

Option A : Since benchmarking against competitors would yield few new practices, it would be better to benchmark against non competitors.

Option B : If information about competitors is hard to obtain, benchmarking against non competitors is preferable.

Option C : Since bench marking against non competitors would yield practices useful in beating competitors,

bench marking against non competitors is preferable.

Option D : If managers are more likely to adopt new practices learned from bench marking against non competitors, then this technique is preferable.

Option E : Correct. This statement properly identifies the rationale that supports a company's bench marking against its competitors.

The correct answer is E.

Question: 10 Test: 7 of 11 Next Test

Tests

You are taking Aptitude Test No. 7

Each aptitude test is comprised of 10 except the last test which might have fewer than 10 in some topics.

You are at question (MCQ) number 10 and Test Number 7 of Critical or Logical Reasoning: Critical or Logical Reasoning. To deal with Critical or Logical Reasoning questions, you must take lesson on the subject. In case of science and Art subjects revise your text books and in case of general aptitude topics take lessons from the topic page.

The question:

One way to judge the performance of a company is to compare it with other companies. This techniq .... with options: Comparisons with competitors are most likely to focus on practices that the manager making the comparisons already employs. , Getting "inside" information about the unique practices of competitors is particularly difficult. , Since companies that compete with each other are likely to have comparable levels of efficiency, only benchmarking against non competitors is likely to reveal practices that would aid in beating competitors. , Managers are generally more receptive to new ideas that they find outside their own industry. can be solved with the concepts and understanding of Critical or Logical Reasoning.