Expert with best answer


100% Recommendation Rate

296 Meetings

1,751 Q&A Upvotes

USD 319 / Coaching

Key drivers of market growth

Anonymous A asked on Aug 02, 2018

Hi guys,

what are the key drivers of market growth?

I was asked this question in a competitive response case yesterday, it's about should the client (a monopoly company) worry about the upcoming liberalization that local/international competitors are entering the market?

it's gas industry.


3 answers

  • Upvotes
  • Date ascending
  • Date descending
Best Answer
updated his answer on Aug 02, 2018
McKinsey Engagement Manager & BCG Consultant | Interviewer at McK & BCG for 7 years | Coached 90+ candidates secure MBB offers
Book a coaching with Sidi

100% Recommendation Rate

296 Meetings

1,751 Q&A Upvotes

USD 319 / Coaching

Hi Anonymous! As always, just use pure logic to disaggragate the ACTUAL question!

"What are key drivers of market growth?"

1. Market growth is defined as the yearly percentage change in total market size (revenues)

2. Revenues can be disaggragated into Volume and Price

3. Volume growth is driven by changes in market demand (number of customers, average demand per customer) and market supply (production capacity, logistics capacity, etc.)

4. These elements can be further disaggregated into drivers (e.g., expected growth in number of customers can be driven by demographics, macro trends, shifts in preferences, etc.)

You can (and should) outline this logic by means of a logic tree. As any case question, mastering first principles of problem structuring will allow you to come up with the answer to this specific question.

Cheers, Sidi


Vlad replied on Aug 02, 2018
McKinsey / Accenture / Got all BIG3 offers / More than 300 real MBB cases / Harvard Business School
Book a coaching with Vlad

97% Recommendation Rate

346 Meetings

4,749 Q&A Upvotes

USD 319 / Coaching


The question is still very unclear. But I would focus on the following:

  1. Supply capabilities (i.e. gas extraction) and quality
  2. Economies of scale (Opportunity to compete on price)
  3. Long-term contracts with wholesale buyers
  4. Own network of gas stations
  5. Brand
  6. Other capabilities


Benjamin replied on Aug 02, 2018
ex-Manager - Natural and challenging teacher - Taylor case solving, no framework
Book a coaching with Benjamin

100% Recommendation Rate

50 Meetings

466 Q&A Upvotes

USD 319 / Coaching


As usual, we need background about the industry at least to help you.


Related BootCamp article(s)

Cost-Benefit Analysis

Investments or single business cases need to be evaluated based on a certain set of criteria. Since financial performance is the key criterion in most cases you need to have an idea about future financial impacts. A key tool to asses this impact is the cost-benefit analysis which is used to determine the net effect of potential revenues and costs.

1 Q&A

4C Framework

Get an overview over a company’s customers, competition, cost and capabilities by conducting a 4 C analysis in your case interviews

Market Entry

Market Entry Strategy Frameworks may be a great solution to apply in your Case Interview if your client is searching for growth alternatives.

Approaching a Case

In order to get into consulting, the case study is the most important element of the interview. Here, you can learn the specific skills and concepts to solve them.

Getting Up to Speed

In order to repeatedly demonstrate prerequisite skills under the pressure of a real case interview, you need to learn the basics and practice cases.

Related case(s)

Bain case: Asian lubricants producer

Solved 91.8k times
4.7 5 27033
| Rating: (4.7 / 5.0)

LubricantsCo, a very successful Asian premium producer of lubricants in their native region, would like to further increase their revenue and profit. The product range ranges from lubricants in the automotive sector (e.g. motor and gear oil) to industrial applications (e.g. fats, heavy-duty oils). ... Open whole case

Roland Berger case: Light on!

Solved 47.6k times
4.6 5 13470
| Rating: (4.6 / 5.0)

LumCO, a company producing injection-molded components for lighting applications, has operated successfully in its native European market. The company wants to open up one production facility each in China and the United States and establish their own distribution network in both countries to serve ... Open whole case


Solved 49.3k times
4.5 5 1528
| 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-supp ... Open whole case

Children vaccine

Solved 44.5k times
4.4 5 1489
| 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


Solved 33.5k times
4.4 5 2112
| Rating: (4.4 / 5.0) |

Your client, Fysikum, is an operator of squash centres in Sweden. The squash centres include sauna, spa, pool, gym and of course the squash courts. Due to the extreme success in Sweden the company is considering expanding to other countries of Europe, in particular Germany. Therefore they asked us ... Open whole case