Approaches to cases

Question 1

process/efficiency case

Answer 1

Helpful to think about different steps of process. Ask if that is available (I.e. for garbage truck company not being able to meet demand: what are the different steps in that process? )

Question 2

Merger & acquisition case (should one company acquire another?)

Answer 2

1. Company attractiveness (how profitable, different/unique capabilities or products, brand name)
2. Market attractiveness (size, growth rate, average profit margins)
3. Synergies (revenue synergies, cost synergies, synergies realizable?)
4. Financial considerations (cost of acquisition fair?, how long to break even, exit strategies?)

Question 3

Profitability case (what’s causing the company to lose money)

Answer 3

1. Financial considerations (how have revenues changed [quantity, price], how have costs changed [variable, fixed])
2. Competitive landscape (have competitors done anything differently, have new competitors entered market, have competitors also lost profits)
3. Customer segmentation and needs (have needs/preferences changed, have buying habits changed, has number of customers decreased)
4. Market trends (new tech affecting market?, new regulations?, other major trends occurring?)

Question 4

market entry case (should company enter new market?)

Answer 4

1. market attractiveness (growth rate, size, avg profit margins compared to original market)
2. competitive landscape (how many competitors, how much share of each player, barriers to entry)
3. company capabilities (existing knowledge/expertise/tools to enter market, have enough capital to enter?)
4. financial considerations (profitable to enter market? how long to break even?)

Question 5

cases with many stakeholders

Answer 5

helpful to think about each party- each party can be a bucket to focus on

Question 6

growth strategy case (how to achieve growth?)

Answer 6

can first think of as organic vs. inorganic
organic can be split into two buckets: 1. increase sales of existing product/services, 2. create new product/services
inorganic: acquisition or partnership

Question 7

new product case (should company launch a new product?)

Answer 7

1. market attractiveness
2. customer needs (how will they respond, does it meet their needs/preferences)
3. competitors (superior/unique from competitor products?)
4. company capabilities (capital, knowledge/expertise, tools)
5. financials (expected profitability)

Question 8

pricing case

Answer 8

financials (cost to produce = min price)
customer (set max price)
competitors (price for similar products –> determine optimal price between min and max)

Question 9

Types of challenges (qualitative business question)

Answer 9

Can think of broadly as internal vs external challenges

Internal: knowledge/expertise (how to, understanding) and logistics (sourcing supplies/labor, setting up distribution)
External: market (regulation and compliance), customers (perception/reaction), existing competitors

Question 10

Challenges to two company integration (merger, acquisition, partnership)

Answer 10

Language differences, time zone, physical distance between headquarters/warehouses, company culture differences, different knowledge/expertise among employees, challenges with tool integration, potential loss of employees