Mathematical transformation

Question

Dear users,

If we have a product portfolio of 4 products and an overall market share of 40%, can we assume for simplification in case cracking that we have 40% market share in each of the product's market, as it is just a math operation?

Thanks!

Answer 1

Hi,

On one hand its good that you take assumptions on your own.
On the other hand for such structural choice in the resolution make sur the interviewer agree with it ot provide more info for the rest of the case.

Best
Benjamin

Answer 2

Hi,

You can only make this assumption if the interviewer confirms it is true.

I can easily imagine a situation when you have 40% market share in one product's market and 30% share in another. (Put any number)

Best

Answer 3

Never make this assumption without verifying with interviewer! Making this assumption without checking would just demonstrate lacking depth of thinking, since you exclude the possibility of structural issues hiding behind the global average (which is actually quite common in case interviews!).

Cheers, Sidi

Answer 4

Hi Anonymous,

I agree with Benjamin, Sidi and Vlad. When you have multiple products it is actually typical to have product mix differences and that the interviewer wants to specifically assess your ability to verify the correct data before moving forward. Thus, you should definitely verify your hypothesis with the interviewer before moving forward.

Best,

Francesco

Answer 5

It can be either one, you can define Market Share in term of units sold or in terms of revenue. I would say it depend... (read entire answer)

It can be either one, you can define Market Share in term of units sold or in terms of revenue. I would say it depends on how you previously defined it during the case and the p... (read entire answer)

Answer 6

Share of wallet is simply how much a customer spends on a brand/product/service. So, don't confuse this with market s... (read entire answer)

Share of wallet is simply how much a customer spends on a brand/product/service. So, don't confuse this with market share They are two different concepts. Growing share of walle... (read entire answer)