To derive the entirity of the contract bid - shouldnt we add COGS and 15% discount to the bid value itself so that those costs are covered?
Schedule mock interviews on the Meeting Board, join the latest community discussions in our Consulting Q&A and find like-minded Interview Partners to connect and practice with!
Back to overview
16
35
348
110
Global
Im not certain why cost is deducted from revenue for the entirety of the contract bid.
2
2.0k
Be the first to answer!
Nobody has responded to this question yet.
Hi Ukasha,
If I understand your question correctly, the answer is embedded in the case here:
- Typically, the client calculates profitability by deducting COGS & Overhead from the retail price.
- In such a scenario of bidding, the supplier needs to find out how much profit he can forfeit in order for the deal to remain attractive.
Hello!
It´s stated in the case, here > "Typically, the client calculates profitability by deducting COGS & Overhead from the retail price"
Cheers,
Clara
Sign up for free to read all answers.
Sign up for free to read all answers.
Similar Questions
Consulting
Just did the Mckinsey Solve Game (January 2025) - got some questions/insights
on Apr 24, 2025
Global
5
3.2k
5 Answers
3.2k Views
+2
Consulting
Has anyone tried any of the AI Interview Tools for MBB before?
on Mar 25, 2025
Global
10
13.4k
10 Answers
13.4k Views
+7
Consulting
Employment Gap on Resume and How to talk about it during Interview
on Apr 14, 2025
Global
9
7.7k
9 Answers
7.7k Views
+6
Expert case by
