Challenge

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You're role-playing with a nice strong sense of winning and losing at the table. What do your characters face? A puzzle. A monster. A trap. Hazardous terrain. A dangerous social crisis. Even betrayal from one of your own. Anything like that I forgot. What might happen to them? Injury. Mutilation. Death. Loss of status. Loss of stuff. Loss of identity. Loss of freedom. And anything like that I forgot.

What really matters is that if you can employ your own guts and strategy to this situation, maybe you won't lose any of those things. Can you do it?

Jargon

The Situation, i.e., adversity or imposed risk to player-characters of any kind, in the context of Gamist play. It's the imaginative arena for the Creative Agenda of Step On Up. See the Gamble and the Crunch.