This is a question from the pre-talk of MBB and I wonder what is the right approach for this type of question?
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A pre-talk is an additional round of screening before the traditional first round. Mostly fit questions with a mini case.
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What is pre-talk of MBB?
Anyway, let's define market size of trucks as the number of trucks used in China domestically.
[Pop China] * [% adult] * [% drivers license or drives illegally] * [% with work] * [% working in logistics] * [% working in transport] * [% drive truck] * [1/number of people that share 1 truck for a company] * [1/life time of a truck] = Number of trucks per year in China. We can also time it with the $ amount of 1 truck afterwards.
1 comment
Hi Ning,
The question really is asking to understand how you think and structure a problem, there are a few approaches that you can use, top-down, bottom-up, based on experience etc. I recommend you read more details here to get started: https://www.preplounge.com/en/bootcamp.php/case-cracking-toolbox/identify-your-case-type/market-sizing
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