Hello!
How long should I take to structure a market sizing question and to solve it?
Hi,
It really depends on when do you have a market sizing question. There can be two options:
It's less about different types of the problems but rather about the tools that you use:
1) First of all, there are 2 ways to structure market sizing:
2) You should learn the key market sizing techniques:
3) You should learn the key tools:
4) Learn key numbers: populations, gas price, gas consumption, Boeing speed and nmber of seats, average salary, # of gates in the airport, GDP growth rate, inflation, etc.
5) Practice 10-15 cases and you'll be fine. Almost all casebooks have good market sizing examples and the solutions
Feel free to PM for clarifications
Good Luck!
Hi there,
I recommend to take less than a minute in order to:
1. Define the boundaries of the market sizing (type of product, customers, etc..)
2. Write the main formula, trying to include all the important elements
Than the interviewer will guide you and you break down together the formula. Of course if the market sizing problem is easy you can break down the formula during the first minute, but I would say it is better to do it together with the interviewer.
(editiert)
Thank you! I was confused whether we should do the whole breakdown within a short period of time, which for harder questions seemed impossible to me. So this clarification really helped me out!
(editiert)
Your really welcome! if you have further questions do not hesitate to text me
Hi,
it depends on the problem. Usually, it's a normal case of 20-25 minutes, but if the interviewer says there will be another case after you will understand you are supposed to have 10 minutes as well as if it a part of a bigger business case
Hope it helps,
Anto
These general questions are super dangerous, since none can really give you an insightful answer with such little contest.
It depends! On the prompt, the case, how much info you already have, how complicated it is...
When preparing for consulting, try to avoid general recipies/frameworks/timings because that is not the way it works.
Hope it helps!
Cheers,
Clara
Hi,
On average, you should take about a minute to gather your thoughts and structure your main equation, with components laid out clearly.
In terms of the actual solution, it depends on whether the market sizing question is asked as a standalone question or is a part of a full-length case:
Best,
Deniz
I was wondering how long the whole process would take, so thank you!
Hi there,
Providing some market sizing thinking for anyone revisiting this Q&A:
Remember that there's rarely a "best" answer with market sizing. What's important is that you break down the problem the way it makes sense to you. Importantly, break it down so that the assumptions you make are the ones you're most comfortable in.
For example, do you know all the major brands? Great go with that. Do you understand all the segments of that country's population (either age or wealth or job breakdown)? Go with that. Do you know the total market size of the tourism (or hotel) industry? Then break it down that way.
Some tips:
Generally speaking you should take around 20-25 minutes but the interviewer will guide you in this, telling you which hypothesis you can do to semplify the case.
Take into consideration that sometimes they want to do more than one market sizing.
Thanks a lot, this is really helpful!