Size of a market for new product

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BCG Product introduction

Letzte Aktivität am 13. Aug. 2018

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Anonym A fragte am 13. Aug. 2018

As part of a product introducation case, I have been asked to determine the size of the total addressable market in Germany in less than 5 minutes.

Our client would like to launch an innovative product for big hospitals. How many big hospitals are there in Germany?

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Answer 1

Beste Antwort

Vlad

Experte

bearbeitete eine Antwort am 13. Aug. 2018

McKinsey / Accenture Alum / Got all BIG3 offers / Harvard Business School

Hi,

Assume an average number of times a person gets into the hospital per lifetime (N)
The number of people that gets into hospitals per year = population x N / average lifetime (80 years)
Assume the average time spent at the hospital (e.g. 7 days)
The number of people at the hospitals on any given day = The number of people that gets into hospitals per year / 365 * 7
Assume a % of people who get into the big hospitals and divide the number by the average number of occupied beds in a single hospital. Thus you'll get the number of hospitals

Best!

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Size of a market for new product

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