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Canada Bus Operator

Style:
Candidate-led (usual style)
Topics:
Operations strategy, Profitability analysis Operations strategy, Profitability analysis
Rating:
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Case Prompt

We are a Canada bus transport service operating between major cities. We have been losing money for the past 5 years. Our new CEO thinks that we need to aggressively cut costs in order to return to profitability. 

We also suspect the over-operated routes as well as the new routes to be the cause of the loss. How do you suggest we should face this problem?

I. Background

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II. Solution

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III. Concluding Observations

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Further Questions

Question 1: How would you identify unprofitable routes?

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Question 2: If the company figures out multiple new routes which may be profitable, how would you suggest we go about starting services on the new routes?

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Profitability Case

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