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Ian

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266 Meetings

23,059 Q&A Upvotes

USD 289 / Coaching

2

How is wheelchair patient deaths are calculated?

Great case, really enjoyed it. Can someone please explain how the wheelchair deaths I calcuated. Would appreciate a more simpler overview of second part of the formula so I understand the logic. Thank you!

Volume growth = Incidence patients - wheelchair patient deaths / wheelchair patient population base x changes in wheelchair lifetime / penetration

Wheelchair patient deaths = 490,000 (700K x 70%) + 320,000 (800K x 40%) + 65,000 (260K x 25%) x 3% = 26,000

Great case, really enjoyed it. Can someone please explain how the wheelchair deaths I calcuated. Would appreciate a more simpler overview of second part of the formula so I understand the logic. Thank you!

Volume growth = Incidence patients - wheelchair patient deaths / wheelchair patient population base x changes in wheelchair lifetime / penetration

Wheelchair patient deaths = 490,000 (700K x 70%) + 320,000 (800K x 40%) + 65,000 (260K x 25%) x 3% = 26,000

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Book a coaching with Ian

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Hi Ksenia,

So the key here is the exhibit, which points out the prevelance and pentration rate for the US. The #s multiplied across the 3 diseases gets you the total # of people currently in wheelchairs. Then, the x 3% portion is essentially saying 3% of that population will die per year.

The "base" US deal rate is around 1% of the total pop per year. However, given that this is a more compromised population, one can assume a much higher death rate (here, the author decided 3x).

This is up the to the candidate's judgement and is part of market sizing!

Hi Ksenia,

So the key here is the exhibit, which points out the prevelance and pentration rate for the US. The #s multiplied across the 3 diseases gets you the total # of people currently in wheelchairs. Then, the x 3% portion is essentially saying 3% of that population will die per year.

The "base" US deal rate is around 1% of the total pop per year. However, given that this is a more compromised population, one can assume a much higher death rate (here, the author decided 3x).

This is up the to the candidate's judgement and is part of market sizing!

Book a coaching with Clara

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Hi!

I suggest you ping directly the author, he is on PrepLounge!

I am sure he´ll be happy to help.

Cheers,

Clara

Hi!

I suggest you ping directly the author, he is on PrepLounge!

I am sure he´ll be happy to help.

Cheers,

Clara