Calculating the numbers in figure one shows that while market share has decreased, total volume has increased over the ten years. While yes this is a problem for BeautyCo, this cannot be the reason for declining profitability. And the interviewer provides information that cost remains unchanged, and that market mix also remains unchanged. Thus not leaving any visible cause for declining profitability.
Is this an oversight or am I missing something?
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In question 1: Why is it assumed that volume decreases if market share decreases. The total growth of the market means that total volume has increased over time.
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