GMAT Issue – Competition is beneficial (How to write GMAT Argument Essay Example)

Another from GMAT Issue Archive:

 

“The presence of a competitor is always beneficial to a company.  Competition forces a company to change itself in ways that improve its practices.”

 

Discuss the extent to which you agree or disagree with the opinion stated above.  Support your views with reasons and/or examples from your own experience, observations, or reading.

 

The author believes that the presence of competitor is always beneficial because it forces a company to improve continuously. There are many circumstances in which this statement holds true. For example, improvement in product, services,delivery of the goods, continued research and development, etc… However there are many circumstaces where the presence of competitor is not so beneficial. For example, presence of an established competitor in a market where a new company wants to enter. However, after a careful consideration I believe the competition is always beneficial to the company.

 

First, the comptition makes the company always on a lookout for improvement opportunities in various departments. If the company doesn’t act as quickly as the  competitor then there are chances to loose market share and hence a dip in profit. This way it helps company to stay agile to changing market and customer requirments. For example, in consumer toothpaste market the presence of several major players make it impossible for any one of them to become complacent and it always helps them to do continuous introspection in the way they manage processes and practicies inside the comapny. This introspection can force them to change the unsuccessful or incompetent practices.

 

Second, the competition makes the company invest more into the research and development and innovation to come out with better products for consumers. For example, we have seen consumer electronics companies to present new and superior quality of TVs years after years. Such strategy always helps them to stay ahead in the game.

 

However, the competition can also be detrimental to some companies in some scenarios. For example – if there are too many competitors in a market such as refrigerator market, it becomes incresingly difficult for the companies to meet shareholder expectations on return. Such fierce competition forces the companies to cut the prices and profits which may lead them to a difficult financial position. In such cases cosolidation of market is more required than entry of another competitor.

 

Another example where the competition is not so helpful is where there is only one significant player enjoying a monopoly. In such case it becomes increasignly difficult for the new player to present it products and earn profits. For example, it would be difficult for a new retailor to enter in US market and compete with Wal Mart. The new retailor would have hoped that Wal Mart was not present in market so that new retailor doesn’t need to compete with price of Wal Mart which buys goods in bulk!

 

However from a higher level perspective it has been observed that a competitor in the market makes the company thriving for better results, products and earning. Sometimes only such tough competition has given birth to the innovations which has led to revival of several multi-nationationals such as Appel with iPod. Compe. So competition is a boon to the company and the market in which it works.

Advertisements

Gmat Argument – City L Lifestyle (How to write GMAT Argument Essay – Example)

Another Argument from my archive:

 

“Two years ago, City L was listed 14th in an annual survey that ranks cities according to the quality of life that can be enjoyed by those living in them.  This information will enable people who are moving to the state in which City L is located to confidently identify one place, at least, where schools are good, housing is affordable, people are friendly, the environment is safe, and the arts flourish.”

 

Discuss how well reasoned you find this argument.  In your discussion be sure to analyze the line of reasoning and the use of evidence in the argument.  For example, you may need to consider what questionable assumptions underlie the thinking and what alternative explanations or counterexamples might weaken the conclusion.  You can also discuss what sort of evidence would strengthen or refute the argument, what changes in the argument would make it more logically sound, and what, if anything, would help you better evaluate its conclusion.

 

I do not agree with the author’s conclusion that City L will provide all the aminities to the new people moving to the state in which City L is located. The argument depends upon several assumption and insufficient data. I have listed down 4 reasons why I donot agree with argument.

 

First, the author doesnt mention anything about the sample size of survey conducted. Did the survey include all major cities? What if the the survey did not include the other cities which also provide all the stated aminities? More importantly, did the survey include all other cities of the state at least? If the survey did not include such cities then it is highly likely that City L can rank much higher  than it may actually deserve.

 

Second, how many total cities were covered in the survey? If there were only 14 city covered in the survey and City L was ranked at 14 then it shows that City L is actually not so better place as one might have assumed.

 

Third, the survey was done almost 2 years ago. The statement rest on assumption that many factors, which contributed the shortlisting city, might have changed. For example, a major earthquake hit the city 1 year back which destroyed the basic city infrastructure severly. In this case it will not be wise for anyone to move to City L until its infrastructure is revived. Hence such outdated survey data can not provide the sufficient info to make a choice.

 

Fourth, the survey mentioned 4 basic factors – good schools, affordable housing, friendly people, safe enviorment – that make City L a good choice. However what if the employment opportunities available at City L are not adequate? In such case it will not provide growth opportunities to the parents which can affect the standard of living of whole family. So these 4 factors are not sufficient to make a decision.

 

However, the author’s statement can be strengthened if survey sample size included all major national cities and hence puts City L at much higher rank in comparision. The statment can also be strengthened if it’s shown that not much has changed in the factors contributing the choice of City L above others in last 2 years. This improves the validity of survey. References to other factors to quality of life in survey can also help to make the argument much stronger.

Updates – Received 6.0 in AWA in Offical Score Card

Folks,

I got my official score card from GMAC. I got 6.0 in AWA. I am happy to see that score because I have heard some of the ivy schools do look for a good show in AWA. I have posted my last few essays before the GMAT for you all to review. Please share them if you find them useful.

More later…

[Updates: Please check out my blog posts of GMAT AWA Arguments and GMAT Issues templates]

GMAT AWA Argument Template

I have received several emails requesting AWA template. Here’s my AWA argument template. [Also check out GMAT AWA Issue template]

Author’s argument that … is weak; it rests on many assumptions and fails to substantiate sustainable evidences. The argument assumes that – point 1 of paragraph 1 –. The argument doesn’t justify that (weak evidence)… In the following paragraphs, I shall present these assumptions and weak evidences that weaken the argument along with the additional premises which can strengthen the argument.

First, the argument… present your first point. Follow it by example. DO NOT REPEAT THE ARGUMENT STATEMENT.

In addition, present your second point. Again, don’t repeat the argument statement.

Furthermore, the statement implies that… third point (a weak evidence).

However, author’s argument can be strengthened if it’s shown that… Present at least 2 additional premises that can help to bolster its claim. You can use points like (1), (2). This shows that you are more organized.[You can write the following paragraph without even thinking what the argument is about!]

To sum up, as cited in aforementioned paragraphs, the argument lacks solid evidences and depends upon weak assumptions. Unless its claims are strengthened by additional premises, such as the ones mentioned in previous paragraph, it does not appear credible. Therefore, the argument is weak for serious consideration.

I am sure this is not the best of the templates but I believe that following this structure shows that you are organized and will keep you away from any AWA fears.