This is a question from the pre-talk of MBB and I wonder what is the right approach for this type of question?
Thank you!
How to estimate the market size of trucks in China?
What is pre-talk of MBB?
Anyway, let's define market size of trucks as the number of trucks used in China domestically.
[Pop China] * [% adult] * [% drivers license or drives illegally] * [% with work] * [% working in logistics] * [% working in transport] * [% drive truck] * [1/number of people that share 1 truck for a company] * [1/life time of a truck] = Number of trucks per year in China. We can also time it with the $ amount of 1 truck afterwards.
Hi Ning,
The question really is asking to understand how you think and structure a problem, there are a few approaches that you can use, top-down, bottom-up, based on experience etc. I recommend you read more details here to get started: https://www.preplounge.com/en/bootcamp.php/case-cracking-toolbox/identify-your-case-type/market-sizing
Related BootCamp article(s)
Important Facts
It's essential to know some key figures regarding geographies, population, economies for your case interviews. We summarized them for you here.
9 Comment(s)Market Sizing
Market Sizing Cases are used to test your quantitative and reasoning skills. The interviewer evaluates your structure, numbers-handling and business sense.
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