Mathematical transformation

Market share math logic
Recent activity on Aug 27, 2018
4 Answers
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Anonymous A asked on Aug 27, 2018

Dear users,

If we have a product portfolio of 4 products and an overall market share of 40%, can we assume for simplification in case cracking that we have 40% market share in each of the product's market, as it is just a math operation?

Thanks!

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Benjamin
Expert
replied on Aug 27, 2018
ex-Manager - Natural and challenging teacher - Taylor case solving, no framework

Hi,

On one hand its good that you take assumptions on your own.
On the other hand for such structural choice in the resolution make sur the interviewer agree with it ot provide more info for the rest of the case.

Best
Benjamin

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Francesco
Expert
Content Creator
replied on Aug 27, 2018
#1 Expert for Coaching Sessions (3.600+) | 1.300+ Reviews with 100% Recommendation Rate | Ex BCG | 8+ Years of Coaching

Hi Anonymous,

I agree with Benjamin, Sidi and Vlad. When you have multiple products it is actually typical to have product mix differences and that the interviewer wants to specifically assess your ability to verify the correct data before moving forward. Thus, you should definitely verify your hypothesis with the interviewer before moving forward.

Best,

Francesco

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Sidi
Expert
replied on Aug 27, 2018
McKinsey Senior EM & BCG Consultant | Interviewer at McK & BCG for 7 years | Coached 300+ candidates secure MBB offers

Never make this assumption without verifying with interviewer! Making this assumption without checking would just demonstrate lacking depth of thinking, since you exclude the possibility of structural issues hiding behind the global average (which is actually quite common in case interviews!).

Cheers, Sidi

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Vlad
Expert
Content Creator
replied on Aug 27, 2018
McKinsey / Accenture Alum / Got all BIG3 offers / Harvard Business School

Hi,

You can only make this assumption if the interviewer confirms it is true.

I can easily imagine a situation when you have 40% market share in one product's market and 30% share in another. (Put any number)

Best

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Benjamin gave the best answer

Benjamin

ex-Manager - Natural and challenging teacher - Taylor case solving, no framework
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