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
expert
Expert with best answer

Francesco

100% Recommendation Rate

3,028 Meetings

7,603 Q&A Upvotes

USD 429 / Coaching

1

Structure Risks and Opportunities

Hi everyone,

I am currently trying to improve my structure when it comes to questions such as: what are the risks and opportunities associated with decision xy. I do think that for sure it makes a difference whether we are talking about a market entry, a new product, M&A etc., but I would like to have a generic structure or approach that helps me to structure my thoughts and to adjust it to the particular case.

Any ideas and thoughts are very much appreciated.

Thank you very much in advance.

Hi everyone,

I am currently trying to improve my structure when it comes to questions such as: what are the risks and opportunities associated with decision xy. I do think that for sure it makes a difference whether we are talking about a market entry, a new product, M&A etc., but I would like to have a generic structure or approach that helps me to structure my thoughts and to adjust it to the particular case.

Any ideas and thoughts are very much appreciated.

Thank you very much in advance.

1 answer

  • Upvotes
  • Date ascending
  • Date descending
Best Answer
Book a coaching with Francesco

100% Recommendation Rate

3,028 Meetings

7,603 Q&A Upvotes

USD 429 / Coaching

Hi Anonymous,

in general I would suggest the following steps to assess risk and opportunities: (i) go back to the objective of the case, (ii) identify the elements that would influence such objective in a MECE way and (iii) see how decision xy could influence them. As an example, if you are considering launching a new product where your goal is to maximize profits and the question is about risk and opportunities of a marketing campaign, you could proceed as follows:

  1. Go back to the objective. In this case you have to maximize profits
  2. Identify the key elements that will influence your objective. In this case is revenues and costs. Then identify the second layer that could influence such objective. In this case is price, volume, fixed and variable costs
  3. Think how a marketing campaign could influence these elements. Eg, after a marketing campaign, you may charge a premium price for your product, however that could also imply a fixed cost not repaid in case the campaign is not successful.

Hope this helps,

Francesco

Hi Anonymous,

in general I would suggest the following steps to assess risk and opportunities: (i) go back to the objective of the case, (ii) identify the elements that would influence such objective in a MECE way and (iii) see how decision xy could influence them. As an example, if you are considering launching a new product where your goal is to maximize profits and the question is about risk and opportunities of a marketing campaign, you could proceed as follows:

  1. Go back to the objective. In this case you have to maximize profits
  2. Identify the key elements that will influence your objective. In this case is revenues and costs. Then identify the second layer that could influence such objective. In this case is price, volume, fixed and variable costs
  3. Think how a marketing campaign could influence these elements. Eg, after a marketing campaign, you may charge a premium price for your product, however that could also imply a fixed cost not repaid in case the campaign is not successful.

Hope this helps,

Francesco

Related BootCamp article(s)

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.

1 Q&A

Related case(s)

MBB Final Round Case - Smart Education

Solved 8.9k times
MBB Final Round Case - Smart Education Our client is SmartBridge, a nonprofit educational institution offering face-to-face tutoring services. The client operates in the US. The mission of SmartBridge is to help as many students as possible to complete studies and prevent that they drop from the school system, in particular in disadvantaged areas. The client is considering starting operations for its services in the Chicago area. They hired us to understand if that makes sense. Due to the nonprofit regulation, SmartBridge should operate on its own in the market, without any partnership. How would you help our client?
4.6 5 369
| Rating: (4.6 / 5.0)

Our client is SmartBridge, a nonprofit educational institution offering face-to-face tutoring services. The client operates in the US. The mission of SmartBridge is to help as many students as possible to complete studies and prevent that they drop from the school system, in particular in disadvant ... Open whole case

Espresso, Whatelse?

Solved 6.6k times
Espresso, Whatelse? Espresso Whatelse is an Italian company that produces coffee and espresso machines since 1908. It is the Italian market leader and has a strong presence overall in Europe. In 2019, Espresso Whatelse has increased its revenues but it has seen declining profit margin. Your client wants to understand the root causes of this 2019 trend and how to increase its profit margin again.  
4.6 5 337
| Rating: (4.6 / 5.0)

Espresso Whatelse is an Italian company that produces coffee and espresso machines since 1908. It is the Italian market leader and has a strong presence overall in Europe. In 2019, Espresso Whatelse has increased its revenues but it has seen declining profit margin. Your client wants to understand ... Open whole case

McKinsey Digital / BCG Platinion: Oil & Gas Upstream Technology

Solved 1.5k times
McKinsey Digital / BCG Platinion: Oil & Gas Upstream Technology [PLEASE NOTE: This is a technically difficult case and should only be completed by those coming in as a Technology specialist, i.e. recruiting for McKinsey Digital, BCG Platinion, etc.] Our client is a multinational oil and gas company. While they are vertically integrated and have upstream, midstream, and downstream divisions, they have recently been experiencing competitivity issues in the upstream gas division, which brings in $1B in profits annually. Our client’s upstream division has offices in Australia and Indonesia. Their work is highly dependent on their IT systems, as they have to constantly monitor wells and pipes (pressure, hydrocarbon count, fluid makeup, etc.) The upstream division has two large legacy IT systems that are primarily used for downstream operations but have been modified for upstream purposes. These systems are managed by a central team in the US which is responsible for all IT issues across the business. They triage issues/enhancements and then manage development teams in India and Finland who complete the work.
4.6 5 35
| Rating: (4.6 / 5.0)

[PLEASE NOTE: This is a technically difficult case and should only be completed by those coming in as a Technology specialist, i.e. recruiting for McKinsey Digital, BCG Platinion, etc.] Our client is a multinational oil and gas company. While they are vertically integrated and have upstream, midstr ... Open whole case

Hot Wheels

Solved 1.3k times
Hot Wheels Problem definition: Our client is Korean Car Parts (KCP), a multi-national original equipment manufacturer (OEM) of car parts based in Korea. They've recently seen a decline in profits and have brought us in to understand how to address this falling profitability.
4.6 5 57
| Rating: (4.6 / 5.0)

Problem definition: Our client is Korean Car Parts (KCP), a multi-national original equipment manufacturer (OEM) of car parts based in Korea. They've recently seen a decline in profits and have brought us in to understand how to address this falling profitability. Open whole case

YodaPhone

Solved 1.2k times
YodaPhone Our client is Yoda's Phones, a national telecommunications company. They have embarked on a three-year, multi-million dollar digitization program. Unfortunately, two years into the program, they realize they are significantly behind schedule and over budget. You have been brought in to right the ship and ensure the digitization program is delivered as planned.
4.4 5 39
| Rating: (4.4 / 5.0)

Our client is Yoda's Phones, a national telecommunications company. They have embarked on a three-year, multi-million dollar digitization program. Unfortunately, two years into the program, they realize they are significantly behind schedule and over budget. You have been brought in to right the sh ... Open whole case