Schedule mock interviews on the Meeting Board, join the latest community discussions in our Consulting Q&A and find like-minded Case Partners to connect and practice with!
Back to overview

I find it weird that expansion of market is not considered

It says in the analysis of the case that Poker Inc would simply get existing customers in KV if they open a casino there as a response to a new entrant. Which means, instead of losing $113m they would retain those customers. However, wouldn't it be possible that opening a second casino in KV increases the customer base somehow? In which case Poker Inc would have an extra opportunity for revenue (not just the $113 that is retained) 

4 Answers
1.9k Views
21
Be the first to answer!
Nobody has responded to this question yet.
Top answer
Clara
Coach
on Apr 03, 2020
McKinsey | Awarded professor at Master in Management @ IE | MBA at MIT |+180 students coached | Integrated FIT Guide aut

Hello!

Not only that, but also cross-sell and up-sell opportunities

Hope it helps!

Cheers,

Clara

Luca
Coach
on Apr 04, 2020
BCG |NASA | SDA Bocconi & Cattolica partner | GMAT expert 780/800 score | 200+ students coached

Hello Radhia,

your point is fair and it would be fine to discuss it with the interviewer. The main hypothesis should be that you can gain some gamblers that are usually going in other casinos in Royal City.
Yet, the hypothesis of the proposed solution is that, since both you and competitors will have a casino in KV, you will both have the same market share of today. This results in no change of the revenues.

Does it make sense?

Luca 

Deleted
Coach
on Apr 02, 2020
McKinsey / ex-Interviewer at McKinsey / I will coach you to rock those interviews

Hi! I agree, your logic works – opening a second casino may definitely lead to an increase of the customer base, so it's an additional opportunity.

on Apr 30, 2020
McKinsey | NASA | top 10 FT MBA professor for consulting interviews | 6+ years of coaching

Hi radhi, I agree with you, it deserves a deep dive and you can totally propose it to the interviewer

Best,
Antonello

Similar Questions
Consulting
solve – McKinney's assessment game excel templet
on Mar 05, 2024
Global
6 Answers
3.3k Views
Top answer by
Ex-McKinsey Partner | Most experienced coach (15 years exp, +2.000 real interviews) | 95% success rate
132
6 Answers
3.3k Views
+3
Consulting
When should I expect to hear back from BCG London?
on Mar 05, 2024
Global
7 Answers
3.6k Views
Top answer by
Roland Berger|Project Manager and Recruiter|7+ years of consulting experience in USA and Europe
148
7 Answers
3.6k Views
+4
Consulting
Anybody familiar with the Whiteshield hiring process?
on Mar 05, 2024
Global
5 Answers
3.2k Views
Top answer by
#1 BCG coach | MBB | Tier 2 | Digital, Tech, Platinion | 100% personal success rate (8/8) | 95% candidate success rate
133
5 Answers
3.2k Views
+2
How likely are you to recommend us to a friend or fellow student?
0 = Not likely
10 = Very likely
You are a true consultant! Thank you for consulting us on how to make PrepLounge even better!