I stumbled upon the tipical how many gas station are there in paris question?
I generally understand how to solve market sizing questions, however, I struggle with questions such as how many gas stations or mc donalds restaurant etc.
The solution proposed by prep lounge to solve it via demand seems to take a lot of time and I'm trying to use a different approach. However, I don't get the same result anyway. It says in the solution that there are about 200 gast stations, however, the real number in paris is only about 60.
I'm trying to solve this question by using the supply side: divide the population by how many people per gas station are there. How many people per gas station = People per quarter(district) divided by amount of gas stations per quarter(district). I assume there are 2.2 M people living in paris and there are 20 districts (these are actually the real numbers), also I assume that I have 1.5 gas station per district. However, my final result is something like 7 which is obviously wrong. What am I doing wrong?