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Lack of consideration in the conclusions?

barrier to entry Risk Management
New answer on Jan 03, 2020
2 Answers
1.4 k Views
R (Mck Final round)
asked on Jan 03, 2020
Been through Bain Final Round

The thought-process does not explicitly include 1. barrier-to-entry (competitors, regulations) 2. Risks (Financial & operational).

If I want to add these two, should they be added to the market assessment stage or the market entry strategy?

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Content Creator
replied on Jan 03, 2020
BCG |NASA | SDA Bocconi & Cattolica partner | GMAT expert 780/800 score | 200+ students coached

Hello ronnie,

Both of them can be really important. It really depends on the case and you have to understand at the beginning what are the key factors to take into account during your resolution.

Regarding your question: You don't have to consider the market assessment stage as something completely different and indipendent form the entry strategy. They are strictly correlated and it's really difficult to define the borders of each one. The answer for the entry strategy is 80% of times deductible from the market assessment stage (as in this case).

If you must choose one, I would add the "barrier entry" analysis to the market assessment stage and the "risks" part to the market entry strategy.

Feel free to contact me if you want to discuss it further.

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R (Mck Final round) on Jan 03, 2020

Hi Luca, Thanks for the response. Adding 'Barrier to entry' to the market assessment, and 'risks' to the latter entry strategy sounds like a good plan

Content Creator
replied on Jan 03, 2020
McKinsey | NASA | top 10 FT MBA professor for consulting interviews | 6+ years of coaching

Hi Ronnie,
1. and 2. in the market assessment but the risks have to be considered even in the market entry strategy (what are the risk of each alternative?).


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R (Mck Final round) on Jan 03, 2020

Hi Antonello, thanks for the reply. Having both aspects checked at the assessment stage sounds like a safe choice to me as well.

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