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Dont lose hope...!!!

Its the last moment prep that makes the difference...!!!

You can do it...!!! You will do it...!!! If you won't, who will?

ITS AN OPPORUNITY OF A LIFETIME....!!! DONT LOSE IT...!!! FOCUS

Case interview

This is like the toughest (and the easiest) problem to crack.

JUST FUCKIN STRUCTURE....!!! What the hell is wrong with me? Dont worry about the rime. He needs a fuckin'
structure. Without it, you are fuckin out...

Just follow a structure. Please, if not for you

Any change in Capacity ?

The questions which involves finding an Issue,

you have to scrutinize each part.

This is reflecting in my Market entry cost. Ask for Top level costs first. Then, go to the next level.

What kind of problem is it?

Is it a profitability problem?

Since when is the problem happening

Ask about the company.

Its backgroud

No. and spread of shops, divisions,

Ask about the products?

Ask about the users of this product? Who are the consumers?

Location

Ask about the competitve landscape.

Its market share wrt competitors.

Now you have some background of the company, its products and its competitors.

Revenues - Costs
BE SURE TO ANALYZE ALL POSSIBLE SOURCES OF REVENUE

Some shared revenue model,

Some other value add services

Advertisement revenue

Selling complementary things/ services

Different products

Geographies

Divisions

No. of units X Price

Has the price changes? Has the units declined

Do we have a segment breakup of revenue? Which segment is impacted the most?

Your unit sales have declined for this product

Are we able to meet the demand?

If not, then what is current efficiency we are operating at? If we are at 100, then have the numbers of machines
changes? For eg, Earlier they had 5, they closed down 1..

Capacity is still 100

If we are able to produce, then

Is our product reaching end users?

I not, analyze the value chain. (Where is our product stuck)

Analyze -> Suppliers - Transportation/Logistics - Production - Logistics - Distribution - Retailers Low penetration due
to change in Location.... (Shelf placement, geography )

Has the demand for our product reduced?

What has caused this reduction in demand?

USE THE 4 P's HERE

What is our product? How is it differentiated?

Price

Place - Retailer, Shops .

Promotion
Have our quality declined? Any recent bad PR and Media? (Maybe it has got into some controversy) Our brand
image impacted

Competitor inroduced some new product or Decreased prices, bundle promotions? Extensive marketing

How price sensitive are our consumers?

Our consumers need to be satisfied. Target them with some segment popular media trend. Celebrity, Olympics and
Sports,

Introduce bundles, promotions, discount

Has the competitors decreased their prices? launched a new product? Do they enjoy economies of scale?

Now you can identify what is impacting the revenue

Go through the revenue.

Time fot Finance prep will depend on the shortlists>>>

Finish Case in Point

Focus on the goal....

You have a month to realize your dream...!!!

Just fucking do it...!!!

--- Convert BCG !!! Final chance to prove yourself

--- Finish the entire BCG folder !!! Absorb Major learnings

--- Devote atleast 4 hours daily.... Atleast

--- And Finally, Believe in Yourself


Start speaking in English... You need to be fluent.... Its been a long.....

--- Finish Behavioural Question

--- Dont be ashamed of asking seniors for help... They are all there to help --- Start meeting Fin placed seniors, collect
info--- And most importantly, listen to Seniors. Don't take their advise lightly.

--- CFA & FRM material

--- Financial Modeling (Udemy course)

--- Probability Puzzles

Nearly schedule

--- Office chair---

1. Crisp Behavioural Questions

Alphabeta ppt

2. Work ex points quantify

3. Resume update (Construction, Points)

4. Suzlon case

5. Operations Assignment

7. QT notes

- Get my act together... Dont slack off... Dont procrastinate..

- Everything else can wait till summers...

- Start Studying, Fill up the Interstices


 ALWAYS ALWAYS look for ALTERNATE SOURCES OF REVENUE (Or atleast ask if there are some other revenue
streams)

Have an ‘Others’ category in MECE

There is no overlap between different parts

 Math formulas are MECE by nature.


 Use of Value Chain.

 Each below can be a different framework


 Products – Coke, Diet Coke, Coke Zero
 Countries – US, Europe, China, India…
 Distribution Channels – Retail stores, Restaurants, etc..

Closing the case


Firm A should choose to clos plant X because of data 1 ,data 2…..
A potential risk however, is Z

Load factor is the actual number of passengers in a bus divided by the total number
of seats in a bus

Managing Cannibalization

But companies must come to grips with their cannibalization concerns, because getting overly defensive can
curtail powerful growth strategies.

find customers who aren’t consuming because existing solutions are too expensive or complicated.
One mantra that Procter & Gamble follows is “delight, don’t dilute.
if an opportunity is large enough, someone is going to find a way to realize it.
right framing and the right strategic approach can make sure it doesn’t stop the pursuit of high-potential growth
strategies.

Cannibalize Yourself Before Competitors Do It


Self-cannibalization may be neccessary as a defensive strategy to keep an attacking
competitor from being successful. With this strategy, a company choose to
cannibalize its own products rather than lets their competitors do the same.

Manage The Rate of your Cannibalization through Pricing


Pricing is used most often as the mechanism to control the rate of cannibalization.
Where cannibalization is an issue, the price for the new product is set at a level that
encourages a particular sales mix of the existing and new products. If the price of the
new product is relatively higher, the rate of cannibalization will be lower. Reducing
the price of the new product will usually increased the rate of cannibalization
Restrict Cannibalization to specific Market Segments

Revenues, sales, or turnover (the three terms are synonyms) are the total amount of
money that the company receives from customers by selling its products.

The company’s sales is given by:


Revenues = Total Market Sales x Market Share.

Fixed and variable costs: Businesses incur two types of costs. Variable costs are the
costs that increase with higher sales or higher production. Fixed costs are the costs that
would have to be paid regardless of how much is produced. In other words, variable
costs change with the level of business activity, while fixed costs don’t.

Return on investment (ROI), or return on capital invested (ROCI), measures how much
profits are generated by $100 invested in a given project or business. Let’s say you set
up a lemonade stand with an initial investment of $1,000 to pay for a stand, a lemon
press, etc. Let’s now assume that you sell $500 worth of lemonade throughout the year
and that you incurred $400 in costs to make those sales (E.g.: lemons, sugar, electricity,
etc). Your profit for the year is $100 and your return on investment is $100 / $1,000 =
10%.

The formula for return on investment is therefore given by:

Return on investment = Profits over given period / Initial investment

Let’s focus on the initial investment part of the equation. In your case interviews, you will
most likely have to calculate ROIs when a company is investing in a new project. Here,
the initial investment will be the upfront expenses the company needs to make to start
the business. For instance, if the company wants to start producing cars, building the
car factory will be the main initial investment. Similarly, if the company wants to start a
supermarket, the main initial investment will be the building, fridges and shelves to set
up the supermarket (assuming it buys the building). Initial investments are typically only
incurred once, at the beginning of the project.

Payback period = Initial investment / Profits over a given period


the payback period is simply the inverse of the return on investment. In our lemonade
stand example, the yearly return on investment was 10%. To calculate the payback
period we could have simply done 1 / 10% = 10 years.

Velocity – luxury bus

Attributes that the customer values:


- Price
- Fuel economy
- Reliability of the vehicle
- Appearance, design and styling
- Features and comfort for passengers
- Maintenance cost
- Warranty period
- Enough service support and network
- Availability of spare parts
- Ergonomics for the drivers
- Safety features
- Financing options
- Life of vehicle
- Delivery lead time

Apollo Medical Labs

Sales down?
Competitors lower prices
High delivery time
Low commission to doctors
High waiting time
Customer service , staff not friendly

 Is it a profitability problem?

 Since when is the problem happening
 Ask about the company.
 Its backgroud
 No. and spread of shops, divisions,
 Ask about the products?
 Ask about the users of this product? Who are the consumers?
 Location
 Ask about the competitve landscape.
 Its market share wrt competitors.
 Now you have some background of the company, its products and its competitors.

 Revenues - Costs

 BE SURE TO ANALYZE ALL POSSIBLE SOURCES OF REVENUE
 Some shared revenue model,
 Some other value add services
 Advertisement revenue
 Selling complementary things/ services


 Different products
 Geographies
 Divisions
 No. of units X Price

 Has the price changes? Has the units declined
 Do we have a segment breakup of revenue? Which segment is impacted the most?
 Your unit sales have declined for this product
 Are we able to meet the demand?
 If not, then what is current efficiency we are operating at? If we are at 100, then have the numbers of machines
changes? For eg, Earlier they had 5, they closed down 1..
 Capacity is still 100
 If we are able to produce, then

 Is our product reaching end users?

 I not, analyze the value chain. (Where is our product stuck)

 Analyze -> Suppliers - Transportation/Logistics - Production - Logistics - Distribution - Retailers Low penetration
due to change in Location.... (Shelf placement, geography )

 Has the demand for our product reduced?
 What has caused this reduction in demand?

 USE THE 4 P's HERE
 What is our product? How is it differentiated?
 Price
 Place - Retailer, Shops .
 Promotion


 Have our quality declined? Any recent bad PR and Media? (Maybe it has got into some controversy) Our brand
image impacted
 Competitor inroduced some new product or Decreased prices, bundle promotions? Extensive marketing
 How price sensitive are our consumers?

 Our consumers need to be satisfied. Target them with some segment popular media trend. Celebrity, Olympics
and Sports,
 Introduce bundles, promotions, discount

 Has the competitors decreased their prices? launched a new product? Do they enjoy economies of scale?
 Now you can identify what is impacting the revenue
 Go through the revenue.


 Now the Cost side
 Start with the top level headers --- Fixed cost and Variable cost
 Buying/ Renting a land, Set-up costs, Utilities, Supplies,
 Typically, the variable costs are needed to be further drilled.

 Also, the value chain also needs to analyzed for changes in cost.

 Raw materials - have the price increased. Shortage of input
 Inbound logistics - transportations (Fuel prices fluctuation)
 If our business is heavy reliant on transportation??

Depreciation assets?

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