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    Critical Reasoning
  I: CR Introduction
  II: Argument Structure
  III: Reasoning Skills
  IV: Question Types
  V: Advanced Question Types
     1. Executive Decision Making  
     2. Paradox Questions  
     3. Deductive Reasoning  
     4. Style of Reasoning Questions  
  VI: Sample Questions
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V-1. Advanced Question Types: Executive Decision-Making
 
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When reading many of these stems, pretend that you are the CEO of a Fortune 500 company and the GMAT question is a salesman or a manager with a proposal: "Given the advertising costs….. should the new marketing campaign... ?”

These questions ask you to come up with the most effective, efficient or appropriate way to solve real-world problems such as:

  • Helping a business improve its profitability
  • Dealing with a public health issue
  • Improving performance among workers or students
  • Fixing a sociological problem
  • Making a cost-benefit analysis

The stems will look like this:

Which of the following strategies is most likely to prevent the decline in... ?

Which of the following proposals would be most effective in... ?



The answer is in the answer choices
In Executive Decision questions, don't spend too much time developing a pre-conception of the answer before moving on to the answer choices. For example, if the question asks How could you improve worker productivity?... Well, there could be dozens of ways of doing so. Just develop a general idea of what the right answer will look like. The "right" answer often won't be evident until you see the answer choices.




Examples of Cost Benefit Analysis:

Revenues - Costs = Profits

If you want to boost profits, cut costs or increase revenues.

Cost / Benefit Analysis

If you want to make a sound business decision, evaluate the costs against the potential benefits.

  • Is something worth the cost?
  • What are the benefits and what are the costs of a course of action?

V. Advanced Question Types

2. Paradox Questions