Cookie and Privacy Settings

This website uses cookies to enable essential functions like the user login and sessions. We also use cookies and third-party tools to improve your surfing experience on preplounge.com. You can choose to activate only essential cookies or all cookies. You can always change your preference in the cookie and privacy settings. This link can also be found in the footer of the site. If you need more information, please visit our privacy policy.

Data processing in the USA: By clicking on "I accept", you also consent, in accordance with article 49 paragraph 1 sentence 1 lit. GDPR, to your data being processed in the USA (by Google LLC, Facebook Inc., LinkedIn Inc., Stripe, Paypal).

Manage settings individually I accept
  1. Dashboard 1
  2. Consulting Q&A 2
  3. Can't we directly divide the total store sales with average expense per person to determine the number of customers ? 3
expert
Expert with best answer

Luca

100% Recommendation Rate

48 Meetings

2,595 Q&A Upvotes

USD 189 / Coaching

Book a coaching
View profile of Luca
1
Question on the case: SuperBurger

Can't we directly divide the total store sales with average expense per person to determine the number of customers ?

Case Calculations case question Mergers&Acquisitions SuperBurger

Once we calculate the average number of customers (Total store sales/average spending per person) we can double the customer number to get the no. of customers in 5 years, followed by multiplying it by 20 to get the total store sales after 5 years and dividing it by (2.5*no. of stores presently) to the sales/store

Once we calculate the average number of customers (Total store sales/average spending per person) we can double the customer number to get the no. of customers in 5 years, followed by multiplying it by 20 to get the total store sales after 5 years and dividing it by (2.5*no. of stores presently) to the sales/store

Go to case
 New answer on Dec 23, 2019
1.0 k Views
1 answer
  • Upvotes
  • Date ascending
  • Date descending
Best Answer
Book a coaching with Luca

100% Recommendation Rate

48 Meetings

2,595 Q&A Upvotes

USD 189 / Coaching

Choose a time slot
View profile of Luca

Hello Ravi,

You are right, you can obtain the same result using your way.
You will find a different number just because in the case resolution the intermediate results are rounded.

Hope it helps,
Luca

Hello Ravi,

You are right, you can obtain the same result using your way.
You will find a different number just because in the case resolution the intermediate results are rounded.

Hope it helps,
Luca

2 Book a coaching with Luca

Related case(s)

Bain Case: Old Winery

Bain & Company
Solved 71.9k times
Bain Case: Old Winery You have inherited the “Old Winery” from your grandfather, a winery that has been family-owned for five generations and can be dated back to the 16th century. Half of the eleven hectares are used to grow white grapes, the other half to grow red grapes. They are grown in a conventional way, i.e. they are not organically farmed and certified. The vine stocks are in a good condition regarding age and care. Overall, the only ¼ of the harvest is made into wine by the winery itself; the rest is sold. Your grandfather never wanted to change the image of the winery and left the managerial and administrative task to a young and energetic wine-maker. Due to the not so well-known brand, the demand for the “Old Winery” wine is currently rather low. You do not intent to run the winery operatively, given your limited knowledge of winemaking, but find the idea of owning a winery exciting. Your plan is to give the winery some fresh impetus.
4.4 5 1952
| Rating: (4.4 / 5.0)
Difficulty: Intermediate | Style: Real Case, Candidate-led (usual style) | Topics: Growth strategy, Market analysis, Market sizing, Mergers & Acquisition

You have inherited the “Old Winery” from your grandfather, a winery that has been family-owned for five generations and can be dated back to the 16th century. Half of the eleven hectares are used to grow white grapes, the other half to grow red grapes. They are grown in a conventional way, i.e. the ... Open whole case

General Holding

Solved 45.5k times
General Holding Our client is a French holding company with annual revenues of about €1 billion.      Their portfolio consists of different companies that are mostly in manufacturing industries such as the oil & gas industry and the automotive industry.They do not have a specific investment focus. They prefer to buy the best companies available that are also related to their existing businesses. They are thinking about acquiring an auto parts dealer, OTOpart, and want to know whether you think it is a good idea.
4.3 5 1566
| Rating: (4.3 / 5.0) |
Difficulty: Intermediate | Style: Candidate-led (usual style) | Topics: Market analysis, Mergers & Acquisition

Our client is a French holding company with annual revenues of about €1 billion. Their portfolio consists of different companies that are mostly in manufacturing industries such as the oil & gas industry and the automotive industry.They do not have a specific investment focus. They prefer to ... Open whole case

Chip equity

Solved 38.0k times
Chip equity Our client is an electronics holding called Chip’n’Chip. They want to invest in a Printed Circuit Board (PCB) manufacturer called OnBoard, and asked you whether it’s going to be a good investment. How would you help them?
4.5 5 1321
| Rating: (4.5 / 5.0) |
Difficulty: Advanced | Style: Candidate-led (usual style) | Topics: Mergers & Acquisition

Our client is an electronics holding called Chip’n’Chip. They want to invest in a Printed Circuit Board (PCB) manufacturer called OnBoard, and asked you whether it’s going to be a good investment. How would you help them? Open whole case

MBB Final Round Case - Smart Education

Solved 18.7k times
MBB Final Round Case - Smart Education Our client is SmartBridge, a nonprofit educational institution offering face-to-face tutoring services. The client operates in the US. The mission of SmartBridge is to help as many students as possible to complete studies and prevent that they drop from the school system, in particular in disadvantaged areas. The client is considering starting operations for its services in the Chicago area. They hired us to understand if that makes sense. Due to the nonprofit regulation, SmartBridge should operate on its own in the market, without any partnership. How would you help our client?
4.6 5 649
| Rating: (4.6 / 5.0)
Difficulty: Advanced | Style: Interviewer-led (McKinsey style) | Topics: Growth strategy, Market analysis, Market entry, New product

Our client is SmartBridge, a nonprofit educational institution offering face-to-face tutoring services. The client operates in the US. The mission of SmartBridge is to help as many students as possible to complete studies and prevent that they drop from the school system, in particular in disadvant ... Open whole case

Paper Print

Solved 16.2k times
Paper Print A printing company is planning to take over another printing company with similar technology and printing machines. The candidate is supposed to evaluate the acquisition by answering a line of questions that are presented in the “suggested approach” section.
4.2 5 358
| Rating: (4.2 / 5.0) |
Difficulty: Intermediate | Style: Interviewer-led (McKinsey style) | Topics: Mergers & Acquisition

A printing company is planning to take over another printing company with similar technology and printing machines. The candidate is supposed to evaluate the acquisition by answering a line of questions that are presented in the “suggested approach” section. Open whole case

Similar questions

Interview Big Four Strategy - M&A (IT Operational Strategy Services)
Is there a trick to quickly estimate the average annual growth percentage / to or total compounded growth, without a calculator? i.e. X will grow with 5% for the coming 10 years.
Oliver Wyman Acquired OC&C?
Hi all - does anyone have any material to prep mental maths? Thanks a lot!
<question> If profit is decreasing at a faster rate than sales,
Quant skills
Chart and Graph Reading
How many clarifying questions are appropriate and when should they be asked?
Tips for quick division (rules, simplifications etc.)
Case Challenge: Pharmaceutical Company, R&D Pipeline Value, Successful Rate
Ask new question