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
expert
Expert with best answer

Antonello

98% Recommendation Rate

167 Meetings

6,608 Q&A Upvotes

USD 219 / Coaching

1

Estimate number of traffic lights in a London

Anyone willing to share his/her approach to the above question?

This is my approach:

1) Assume a reasonable geographical area of London in km^2.

2) Model London as a square city.

3) Estimate number of horizontal and vertical streets by assigning a uniform length for these streets.

4) Estimate number of intersections and subsequently number of traffic lights.

But this approach assumes that the entire area is occupied by streets. Would that be a fair assumption to make in an interview?

My second approach would be to assign a percentage of land covered by streets by calculating the percentage of land covered by buildings in London. So I could calculate the number of buildings via the number of households in London (given each building on average holds 10 household). Then multiply number of buildings by 200-300 m^2 in area, to get total area covered by buildings. I could add 20-30% to take into account non-residential buildings, parks, unused land etc. By doing this, i can estimate the area of land covered by streets then include it in my first approach. Or would this be to much during an interview?

Anyone willing to share his/her approach to the above question?

This is my approach:

1) Assume a reasonable geographical area of London in km^2.

2) Model London as a square city.

3) Estimate number of horizontal and vertical streets by assigning a uniform length for these streets.

4) Estimate number of intersections and subsequently number of traffic lights.

But this approach assumes that the entire area is occupied by streets. Would that be a fair assumption to make in an interview?

My second approach would be to assign a percentage of land covered by streets by calculating the percentage of land covered by buildings in London. So I could calculate the number of buildings via the number of households in London (given each building on average holds 10 household). Then multiply number of buildings by 200-300 m^2 in area, to get total area covered by buildings. I could add 20-30% to take into account non-residential buildings, parks, unused land etc. By doing this, i can estimate the area of land covered by streets then include it in my first approach. Or would this be to much during an interview?

1 answer

  • Upvotes
  • Date ascending
  • Date descending
Best Answer
Book a coaching with Antonello

98% Recommendation Rate

167 Meetings

6,608 Q&A Upvotes

USD 219 / Coaching

Hi,
I think the last approach is better. Market sizing cases like this are thought to be solved in 20 minutes, therefore you have the time to be more detailed in the estimation and add at the end qualitative considerations to adjust the number with percentages. I would:

  • Start from the London population
  • Calculate the households estimating the n. of people per household (e.g. 2)
  • Calculate the number of residential buildings assuming the n. of houses in a building (e.g. 20)
  • Calculate the number of blocks estimating the n. of buildings per block (e.g. 12)
  • Calculate the number of intersection
  • Calculate the number of traffic lights, assuming 4 main traffic lights per intersection + 8 pedestrian traffic lights (if needed to be included)

Hope it helps,
Antonello

Hi,
I think the last approach is better. Market sizing cases like this are thought to be solved in 20 minutes, therefore you have the time to be more detailed in the estimation and add at the end qualitative considerations to adjust the number with percentages. I would:

  • Start from the London population
  • Calculate the households estimating the n. of people per household (e.g. 2)
  • Calculate the number of residential buildings assuming the n. of houses in a building (e.g. 20)
  • Calculate the number of blocks estimating the n. of buildings per block (e.g. 12)
  • Calculate the number of intersection
  • Calculate the number of traffic lights, assuming 4 main traffic lights per intersection + 8 pedestrian traffic lights (if needed to be included)

Hope it helps,
Antonello

(edited)

How would you calculate the number of intersections? — Anonymous B on Dec 30, 2020

Related case(s)

Oliver Wyman case: Full Electrons Ahead

Solved 103.5k times
Oliver Wyman case: Full Electrons Ahead Your client, large automotive OEM WyCar, has developed its first fully electric vehicle (EV) and introduced it as a pilot on the Austrian market last year. However, sales have been far below the expected numbers. The management has engaged you to support them in understanding the reasons and advise them on how to adjust the product offering.
4.6 5 6569
| Rating: (4.6 / 5.0)

Your client, large automotive OEM WyCar, has developed its first fully electric vehicle (EV) and introduced it as a pilot on the Austrian market last year. However, sales have been far below the expected numbers. The management has engaged you to support them in understanding the reasons and advise ... Open whole case

Bain Case: Old Winery

Solved 71.8k 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 1951
| Rating: (4.4 / 5.0)

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

Roland Berger Case: Onlinestar

Solved 51.1k times
Roland Berger Case: Onlinestar Onlinestar, an online retailer of furniture and garden products (core business), has grown significantly in recent years as a result of an expansion of its product portfolio. The company mainly imports goods from Chinese manufacturers but also operates its own production of cat lavatories (special business) in Eastern Europe. The company sells its goods via Amazon and eBay, and recently via an online shop on its website. Despite this development, the financial ratios have deteriorated in recent years. In particular, the gross profit margin decreased significantly. Combined with a significant increase in shipping costs, this led to a negative result for the first time in the recently ended fiscal year and a resulting strained financial situation. Against the background of expected stagnating sales for the current financial year, short-term action is required. The board of Onlinestar asks you for an analysis of the reasons for the negative result as well as a derived recommendation for action. As a consultant, you should bring in your knowledge in online trading and develop solutions. In addition, the management board would like to receive a sales and gross profit plan from you for the current financial year.
4.3 5 1065
| Rating: (4.3 / 5.0)

Onlinestar, an online retailer of furniture and garden products (core business), has grown significantly in recent years as a result of an expansion of its product portfolio. The company mainly imports goods from Chinese manufacturers but also operates its own production of cat lavatories (special b ... Open whole case

Nutripremium

Solved 71.0k times
Nutripremium Nutripremium is a very well-known premium nutrition food company in Europe (€1 billion revenue last year). It is based in Spain and has an excellent market share not only in its home country but also in Portugal, France, Italy and Germany.  Nutripremium has two main lines of products: Vitamin-supplements for pregnant women Concentrated dehydrated aliments and vitamin pills for sick patients (with Diabetes or Cancer). The CEO of Nutripremium thinks that the market in Europe is starting to get saturated and wants you to analyze the Chinese market. What are the key areas you would explore to determine whether this is a good idea?
4.5 5 2286
| Rating: (4.5 / 5.0) |

Nutripremium is a very well-known premium nutrition food company in Europe (€1 billion revenue last year). It is based in Spain and has an excellent market share not only in its home country but also in Portugal, France, Italy and Germany. Nutripremium has two main lines of products: Vitamin-su ... Open whole case

Children vaccine

Solved 63.1k times
Children vaccine Beyer, one of the biggest pharmaceutical companies in the world, just invented a very reliable vaccine against Chickenpox, a disease that affects children in the age from 2 to 16 years. Beyer came to you wondering what their potential sales in Europe in the first year would be if they launched this product next year. They are only interested in the overall sales revenue as they already know that the vaccine can be sold for a profit. This is more meant to show them how big the volume they have to supply is and what the revenue would be.
4.4 5 2300
| Rating: (4.4 / 5.0) |

Beyer, one of the biggest pharmaceutical companies in the world, just invented a very reliable vaccine against Chickenpox, a disease that affects children in the age from 2 to 16 years. Beyer came to you wondering what their potential sales in Europe in the first year would be if they launched this ... Open whole case