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1) In general, you can't possibly guess what traits
bosses are looking for.
2) Many of the behaviors that produce good GPAs (such
as signing up for the easiest-possible classes, not to
mention cheating) are anti-correlated with what I'm usually
looking for.
3) To be blunt: Teachers give out grades. Teachers
like to feel important. Ergo teachers drift toward thinking
that grades are important. Well, sorry, they're just not
that important. To the extent that you can use grades to
motivate the students, fine, but don't let students think
that grades _per se_ are the objective.
IMHO most electives should be graded in such a way that
they don't count toward the "official" GPA. They could
be graded pass/fail (or pass/no-credit) or just kept
"off the record" like pre-season ballgames that have
a score but don't contribute to the standings.
I still believe that GPAs are of verrry little value for
bosses, and I'm not backpedalling on that... But I
recognize that grades have some value for motivating
some subset of the students.
You don't want them to
hesitate to take electives for fear of ruining their GPA.