Cookie and Privacy Settings

This website uses cookies to enable essential functions like the user login and sessions. We also use cookies and third-party tools to improve your surfing experience on preplounge.com. You can choose to activate only essential cookies or all cookies. You can always change your preference in the cookie and privacy settings. This link can also be found in the footer of the site. If you need more information, please visit our privacy policy.

Data processing in the USA: By clicking on "I accept", you also consent, in accordance with article 49 paragraph 1 sentence 1 lit. GDPR, to your data being processed in the USA (by Google LLC, Facebook Inc., LinkedIn Inc., Stripe, Paypal).

Manage settings individually I accept
1

Standard declining market share case - alternative approaches?

Company A is losing market share over 5 years. In this market there are several key players with large market shares, including A. Company A must be assumed to be operating normally over the past 5 years.

Brief is to design an engagement on what your firm would do to address this decline. This sounds like a typical "growth strategy" is desired.

Without going into the myriad of different approaches already discussed (Price, Place, Product, Promotion), 3Cs etc: Off the bat I am thinking the easy stuff is - seeing as this should be a concise pitch:

  • Identify the reason why company A is losing market share
  • Find ways to regain and grow market share
  • Build an engagement that will captivate the client

Seeing as Company A already has data on its market share from a data provider I am not going to suggest an in-depth market analysis before going into the competitor and company part. Or should I? If we have the data and the client is willing to share I'd imagine we would want to first validate the data and the results. Anything else seems redudant and unimaginative? This is problem solving not market research.

Here are some other questions:

  1. Where would I pose the question to the client whether they have the cash or appetite for an acquisition?
  2. What are the current trends in market growth strategies?
  • New (processes, experiences, features, customers, offerings, models) - this was a case example of from Apple used in HBR (https://hbr.org/2018/06/the-6-ways-to-grow-a-company)

Any suggestions would be helpful. I have a wide berth in this case so creativity is key!

Company A is losing market share over 5 years. In this market there are several key players with large market shares, including A. Company A must be assumed to be operating normally over the past 5 years.

Brief is to design an engagement on what your firm would do to address this decline. This sounds like a typical "growth strategy" is desired.

Without going into the myriad of different approaches already discussed (Price, Place, Product, Promotion), 3Cs etc: Off the bat I am thinking the easy stuff is - seeing as this should be a concise pitch:

  • Identify the reason why company A is losing market share
  • Find ways to regain and grow market share
  • Build an engagement that will captivate the client

Seeing as Company A already has data on its market share from a data provider I am not going to suggest an in-depth market analysis before going into the competitor and company part. Or should I? If we have the data and the client is willing to share I'd imagine we would want to first validate the data and the results. Anything else seems redudant and unimaginative? This is problem solving not market research.

Here are some other questions:

  1. Where would I pose the question to the client whether they have the cash or appetite for an acquisition?
  2. What are the current trends in market growth strategies?
  • New (processes, experiences, features, customers, offerings, models) - this was a case example of from Apple used in HBR (https://hbr.org/2018/06/the-6-ways-to-grow-a-company)

Any suggestions would be helpful. I have a wide berth in this case so creativity is key!

1 answer

  • Upvotes
  • Date ascending
  • Date descending

Bump

Bump

Related case(s)

Bain case: Asian lubricants producer

Solved 158.5k times
Bain case: Asian lubricants producer 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). According to preliminary examinations, further growth potentials in the Asian core market are rather limited. Thus LubricantsCo would like to investigate options to internationalize in the passenger car business – also outside the premium segment which is given priority. Therefore your consulting firm was instructed to elaborate a market entry strategy for the European market.  
4.6 5 29512
| Rating: (4.6 / 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

Oliver Wyman case: Full Electrons Ahead

Solved 99.8k times
Oliver Wyman case: Full Electrons Ahead Your client, large automotive OEM WyCar, has developed its first fully electric vehicle (EV) and introduced it as a pilot on the Austrian market last year. However, sales have been far below the expected numbers. The management has engaged you to support them in understanding the reasons and advise them on how to adjust the product offering.
4.6 5 6487
| Rating: (4.6 / 5.0)

Your client, large automotive OEM WyCar, has developed its first fully electric vehicle (EV) and introduced it as a pilot on the Austrian market last year. However, sales have been far below the expected numbers. The management has engaged you to support them in understanding the reasons and advise ... Open whole case

EY-Parthenon Case: Virtual Marketplace

Solved 41.5k times
EY-Parthenon Case: Virtual Marketplace A leading online real estate marketplace in Germany – your-new-home.com – is struggling with stagnating sales after many years of high growth rates. In a preliminary project with EY-Parthenon, the market environment has already been examined in detail – competitors, new entrants, customer needs, etc. As a result, you are asked to identify growth areas and to quantify the potential sales uplift for the management.
4.3 5 1287
| Rating: (4.3 / 5.0)

A leading online real estate marketplace in Germany – your-new-home.com – is struggling with stagnating sales after many years of high growth rates. In a preliminary project with EY-Parthenon, the market environment has already been examined in detail – competitors, new entrants, customer needs, etc ... Open whole case

BearingPoint Case: Digital Business Model of a Parking App

Solved 14.4k times
BearingPoint Case: Digital Business Model of a Parking App A car park and parking lot operator pursues the strategic goal of exploiting new sources of income via digital business models. As part of this initiative, a MVP (Minimal Viable Product) was developed for a parking app that enables users to search and pay for paid parking spaces. The managing director approaches you with the request to carry out a comprehensive analysis of the parking app. First, the digital business model of the parking app will be analyzed. After the strategic consideration, a financial evaluation of the parking app will be carried out. On this basis, a clear recommendation will be made as to whether the app should be rolled out throughout Germany or not. Finally, an analytics-driven expansion strategy should be considered.
3.2 5 193
| Rating: (3.2 / 5.0)

A car park and parking lot operator pursues the strategic goal of exploiting new sources of income via digital business models. As part of this initiative, a MVP (Minimal Viable Product) was developed for a parking app that enables users to search and pay for paid parking spaces. The managing direc ... Open whole case

DHL Consulting Case: Wonderworld Music Festival

Solved 5.4k times
DHL Consulting Case: Wonderworld Music Festival DHL has been the logistics partner of the Wonderworld Music Festival since 2004. DHL transports all material and equipment for the bands from the UK to the festival locations. Also, DHL is one of the main sponsors of Wonderworld (broadcast advertisement, in site coverage etc.). With their group-wide environmental protection program GoGreen, DHL is committed to improve carbon efficiency to zero emissions until 2050. Wonderworld’s high octane character places a high burden of proof on any “green” claim.  You have been asked to develop a mitigation strategy to overcome this perceived contradiction and help DHL reach their ambitious goal.
3.2 5 69
| Rating: (3.2 / 5.0)

DHL has been the logistics partner of the Wonderworld Music Festival since 2004. DHL transports all material and equipment for the bands from the UK to the festival locations. Also, DHL is one of the main sponsors of Wonderworld (broadcast advertisement, in site coverage etc.). With their group-wid ... Open whole case