The plot of this episode is well-written. You really get to know the participant dynamics and get some idea of the structure and hierarchy within the masked gang. This episode is where you get a glimpse of hope for the desperate participants but also realise that you will watch many more brutal scenes before getting to the resolution.
I have a small problem with some of the script-writing and/or non-verbal acting though. Sometimes the actors act with an expression that I find a little unrelatable, for instance, when the survivors of the game hear gun-shots after leaving the game room, instead of looking sad and hopeless, they look shocked only... but surely they know the losers of the game are going to die right? Also, one of the key characters is an ahole (which is fine as a character), but I don't understand why another key character who is rather level-headed and normal would want to help this person instead of anyone else in the game to win the game. I try to withhold judgement at this point, but I really hope the story doesn't go down a path where aholes can get away with any behaviour just by sticking with the nice people.
All in all, it's a good episode and interests me to keep watching.