About joint venture

Bain case: Asian lubricants producer
New answer on Jul 23, 2020
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Anonymous A asked on Jul 20, 2020

When I was dealing with this case, I focused more on joint-venture and acquisition, is that a wrong direction? I am confused.

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Content Creator
updated an answer on Jul 21, 2020
MBB | 100% personal interview success rate (8/8) and 95% candidate success rate | Personalized interview prep

Hi there,

It's a fair question!

Fundamentally, any given case can go in many directions. However, you are bound to 1) The information provided and 2) The clues given.

Clue #1

"According to preliminary examinations, further growth potentials in the Asian core market are rather limited. Thus LubricantsCo would like to investigate options to internationalize in the passenger car business – also outside the premium segment which is given priority."

You are very clearly being asked here to find a good market. The priority is identifying a good market, not figuring out how to enter!

Clue #2

"Therefore your consulting firm was instructed to elaborate a market entry strategy for the European market."

Again, market entry strategy can encompase many things. Yes, this includes JV and Acquisition, but it's not at all limited to it!

For any market entry case, you need to first determine which market, and only once you've decided which market can you then focus on how. However, even within the how, you can't jump straight into JV/Acquisition. You need to consider the company's situation (capital, expertise, experience, etc.) and the market situation. Only then can you make a decision on the best approach.

Hope this helps!


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Content Creator
replied on Jul 23, 2020
McKinsey | Awarded professor at Master in Management @ IE | MBA at MIT |+180 students coached | Integrated FIT Guide aut


I would agree with you that is a fair question.

This is one of the things that need to be "oriented" by the person who is conducting the interview. How did you do it, by yourself, or with some other candidate in PrepL?



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Anonymous A on Jul 23, 2020

I was doing by myself, I am new to this web

Ian gave the best answer


Content Creator
MBB | 100% personal interview success rate (8/8) and 95% candidate success rate | Personalized interview prep
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