It says in the analysis of the case that Poker Inc would simply get existing customers in KV if they open a casino there as a response to a new entrant. Which means, instead of losing $113m they would retain those customers. However, wouldn't it be possible that opening a second casino in KV increases the customer base somehow? In which case Poker Inc would have an extra opportunity for revenue (not just the $113 that is retained)
Verabrede dich zum Casen über das Meeting-Board, nimm an Diskussionen in unserem Consulting Q&A teil und finde gleichgesinnte Interview-Partner:innen, um dich auszutauschen und gemeinsam zu üben!
Zurück zur Übersicht
Schreibe die erste Antwort!
Bisher hat niemand auf diese Frage reagiert.
Hello!
Not only that, but also cross-sell and up-sell opportunities
Hope it helps!
Cheers,
Clara
Hello Radhia,
your point is fair and it would be fine to discuss it with the interviewer. The main hypothesis should be that you can gain some gamblers that are usually going in other casinos in Royal City.
Yet, the hypothesis of the proposed solution is that, since both you and competitors will have a casino in KV, you will both have the same market share of today. This results in no change of the revenues.
Does it make sense?
Luca
Hi! I agree, your logic works – opening a second casino may definitely lead to an increase of the customer base, so it's an additional opportunity.
Hi radhi, I agree with you, it deserves a deep dive and you can totally propose it to the interviewer
Best,
Antonello
