Some cases require a "Yes" or "No" answer such as Should the client buy the company or not? If there is important information missing should we say that at this point it is not possible to conclude or is it better to say yes, the client should buy it, but we need to check factor A,B and C?
(edited)
Hi,
Indeed, in many cases, you can't provide a definite answer. Consultants may be testing several things:
Imagine a case when you have to make a decision whether a PE fund should acquire a company. You make a proper structure (Market, Competitors, Company, Feasibility of Exit) and in 25 min of a case, you've managed only to go through the Market and Competitors branches of the analysis. What will be your recommendation?
Here is how you should approach this problem:
Best,
Vlad
(edited)
Hi there,
The second option you gave is correct. It's good to throw in a line after "Yes/No" summarizing why.
Here's an example script: "Yes, we should buy company X. The market is attractive and the company is priced below value. Before pulling the trigger, we need to confirm three things - A, B, and C."
Hope that helps!
