The guideline to solve the business case

2. BtE Case Competition Toolbox
About the Toolbox
The Beat the Elite Toolbox is a collection of
useful guidelines and frameworks that will assist
your case solving process. Although its primary
objective is to be used for Beat the Elite, you
may also find it useful for other case solving
exercises, such as in classes or in job
interviews.
Much of the content in the Toolbox is meant to
serve as a foundation for non-experienced case
solvers. Thus, the Toolbox does not contain a
certain right way to solve a case. It does
however contain a lot of useful tips and tricks. It
is not intended to be a winning formula, but by
reading through this collection of frameworks
and guidelines the team might be one step
closer to be able to Beat the Elite.
Enjoy.
Disclaimer
This Toolbox is a collection of useful tips, tools,
advices and frameworks that have proven useful
for several different case solvers and winners in
the past. The Beat the Elite Toolbox is developed
by past case team members and winners and
therefore all material rights belongs to CBS Case
Competition. Beat the Elite Toolbox by CBS
Case Competition is licensed under a:
Creative Commons Attribution-NonCommercial-
NoDerivs 3.0 Unported License.
For further information, please visit:
www.casecompetition.com/bte
22015

3. BtE Case Competition Toolbox
Introduction
• Problem solving:
This section describes how to structure the
problem solving part of your solution.
• Presentation:
This section describes how to set up your
presentation and ensure the output looks nice,
neat and professional.
• Practicalities:
This section describes some of the practical
things that can be done before the case launch,
as well as some insiders tips from previous
participants.
• Industry overview:
This section highlights the key traits for a wide
range of industries. It is intended to enlighten
people with limited knowledge of business on
what areas to focus on during the case solving.
• Additional reading:
External sources and readings.
Content
• Problem solving pp. 4-8
• Presentation pp. 9-24
• Practicalities pp. 25-27
• Industry overview pp. 28-36
• Additional reading pp. 37
32015

4. Problem Solving
Introduction
Structuring of the problem solving process is very
important. The teams are only given 24 hours to
solve a complex problem and hence a systematic
approach will help prioritize and structure the task at
hand. This section is about exactly how to do that.
Hypothesis-driven problem solving:
This section describes one of the most time efficient
ways to approach a problem.
MECE approach:
The MECE approach is widely used within the
management consulting industry and for a good
reason; This framework ensures that the whole
problem solution space is tested.
Issue tree:
Issue trees are often combined with the MECE
approach in order to prioritize and break down the
problem.
Sanity check:
This section describes the importance of doing a
sanity check.
Content
• Hypothesis-driven problem solving
• MECE approach
• Issue tree
• Sanity check
42015

5. Hypothesis-driven problem solving
Description
Hypothesis-driven problem solving is,
as the name states, all about forming
a hypothesis and then testing whether
one is right or wrong concerning the
initial hypothesis.
As an example look at the figure on
the right. This example describes the
hypothesis that changing the quality
of the product will lead to an increase
in the price and thus the profitability of
the product sold.
First the initial hypothesis is stated,
this is then followed by an analysis
which can lead to either confirming or
refuting the initial hypothesis. After
this, a series of new hypothesis can
then be formed, here are two
examples:
Do not look for profit by changing
quality since the analysis shows that
neither in- or decreasing quality will
change profitability.
Or check if reduction of quality
instead will lead to increased
profitability.
Looking at price
sensitivity,
consumer demand,
capital investments
needed and uptake
rates.
After analysis we
refute the
hypothesis.
Increasing quality
will not increase
profit pr. item.
Increasing quality
of the product by
5-10% will lead to a
2% increase in
profit pr. item.
Hypothesis
Refute
hypothesis
Confirm
hypothesis
Analysis
conclusion
Data
Analysis
or
No additional profit
can be found by
changing quality.
Reducing quality by
20% will lead to 5%
increase in volume
and 10% increase
in price pr. item.
New
hypothesis /
final
conclusion
New
hypothesis /
final
conclusion
Stating initial
hypothesis
Confirm or refuteResearch,
analysis and
conclusion
Formation of
next step
hypothesis
5
or
2015

6. Total possible solution space
MECE
Description
MECE stands for Mutually Exclusive
and Collectively Exhaustive and is a
tool commonly used within the
management consulting industry. The
framework makes it easier to break
complex problems down into smaller,
more simple problems. If the
”breakdown” is MECE the team
ensures that all the sub-issues
collectively exhaust the total solution
space (no grey area is left uncovered)
and that the sub-issues are mutually
exclusive (no sub-issues are
overlapping) as seen on the right.
By structuring a problem this way the
team ensures that they do not miss
any possible solution options. It will
also be possible to distribute the work
among the team members without
duplication of any work, thus the
limited time will be used more
efficiently.
Total possible solution space
Sub-issue #1
Sub-issue #2
Sub-issue #4
Sub-issue #3
A non-MECE issue tree
Sub-issue #1
Sub-issue #2
Sub-issue #4
Sub-issue #3
A MECE issue tree
62015

7. Form solution
hypothesis
Overall
problem
MECE
Profit
Cost
Revenue
Volume
Price
/
item
Variable
costs
Fixed
cost
Brand
percep;on
Quality
New
markets
New
segments
Export
to
China?
Exis;ng
customers
Increase
customer
base
Other
Export
to
Brazil?
Update
exis;ng
products
Expand
product
porIolio
A MECE issue tree
Description
The issue tree deconstructs an issue
into its sub-issues and the sub-issues
into its sub-issues and so forth.
A complete issue tree makes
identification of possible solutions
easier and guides the problem solving
process.
In this example an issue tree is
constructed around a profit problem in
a company, so in order to know how
to fix the profit problem, a MECE
issue tree can be constructed.
The overall issue is profit. On the next
level, profit is deconstructed into
revenue and cost. Please note that
revenue and cost are the only drivers
of profit and they are not overlapping -
henceforth the issue tree is MECE at
this level.
Looking at revenue this is
deconstructed into ”price / item” and
”volume,” again this is two MECE
elements of revenue.
This issue tree is MECE but all
branches are not fully developed.
Note: No issue tree is the only right way to structure a problem but many are wrong, which is why making it MECE must be top
priority.
72015

8. Sanity check
8
Description
Early on in the process it is important to do a
sanity check of your solution. As seen in the
figure, the sanity check is supposed to make
sure that the proposed solution is both
creative, has sound analysis to back it up, is
feasible and has impact. If all these four
elements are in place the team could have a
winning solution.
The sanity check is also a good opportunity
for the team to stop working, take a step back
and ask the question: ”Is this solution
something that the company might actually
consider?”
Again, there is not one way to get it right, but
many ways to get it wrong. An example of a
creative, but non-feasible solution, could be to
open a store on Mars. An example of a
solution that have all elements but creativity,
could be to optimize all current operations by
2%.
Neither solution are winning solutions due to
their complete lack of one of the four
elements. So make sure that at least these
four are somewhat present.
Feasibility
Impact
Creativity
AnalysisWinning
solution
2015

9. Presentation
Description
This section entails everything you need in order to
convey your solution in a compelling and convincing
way.
There are two major parts of a good storyline:
1. Structure of content – telling the right things.
2. Structure of argumentation – telling it the right
way.
If you have these two elements you have a good
storyline.
This section first describes and exemplifies a logical
way to structure the content of your presentation.
That is which analysis and finding to present in
which order.
Then, this section describes the two most used
argumentation structures, the inductive and the
deductive which is then exemplified.
Lastly, in the final part of this section everything is
put together in an example of a good case solution
storyline.
Content
• Storyline pp. 10-15
– Structure of content
– Structure of argumentation
– Inductive vs. Deductive
reasoning
– Putting it all together
• The executive slide p. 16
• PowerPoint do’s
and don’ts pp. 17-24
92015

10. How to structure your content in a logical way
Setting the
stage
Identify
problem
Solution
• Arg. 1
• Arg. 2
• …
Impact
Description
An often used structure of the content in the
presentation is based upon what the reader
expects to come next.
On the right is an example of how to structure
the different parts of your solution. This flow
ensures that the structure of the solution is
easy to follow for the reader/listener. These
four parts are based upon what you are
telling the reader, as seen on the right.
First the overall situation of the company is
presented.
Then, the implication (problem) of that
situation is identified.
In the third part of the story, the solution to the
problem is presented. In the solution part it is
also vital to present the arguments as to why
the team has settled on that particular
solution.
Lastly, the impact of the solution should be
presented.
10
Logic of structure - we are telling you…
1: Where are we now?
2: Why is this a problem and
what is the problem?
3: What is our solution
to the problem?
4: What is the impact
of our solution?
The four major elements
2015

11. How to structure a strong logical argument
throughout your presentation
Inductive method:
1. Tell your recommendation/solution up front
in the presentation.
2. Then, in the following section tell why you
recommend what you do.
Deductive method:
1. First, show all your analysis and
conclusions.
2. Then, in the end serve your final
recommendation for the company based on
the results of your analysis.
Note:
While the deductive method can be really powerful if used correctly, it is recommended that the team uses the inductive
storylining. If using the deductive reasoning, the team must be absolutely sure that the reader will agree on the results and the
logic of the argumentation or else the complete argument for the solution could fall apart. The inductive also has the advantage
that it follows the logic of: First tell them what your going to tell them, tell them and then tell them what you told them.
Description
Having secured that the structure of the
content in the presentation is good, the
team must also make sure that the
storyline follows a strong logical
argument. That is, how to structure the
four elements. This means that it should
be easy for the reader to follow the
logical flow of why the next slide looks
like it does. E.g. setting the stage: ”the
companies revenue is stalling due to
maturity in market” à the next slide
identifies the problem of the situation.
Broadly speaking there are two
possibilities for how to build the logical
argumentation of a good storyline. A good
story in a solution almost always follows
either the inductive or the deductive
method.
Solution
Argument
Argument
Solution
FlowofargumentFlowofargument
112015

12. Example of the inductive storyline
• The company should expand their business to China…
• …By first targeting the coastal region…
• …And pack items in smaller packages…
• …Resulting in a net turnover growth of USD 1bn in 2015
• Reasons for going to China
1. Because the market potential is huge
2. The growth is strong
3. Current markets are mature
4. There are certain risks but they are limited
5. We will be able to boost revenue by USD
1bn by moving into China
6. Which is more than other considered
possibilities
• Why to target the coastal region
1. Large share of population
2. Fastest growing region
3. Highest share of net wealth people
• Reasons to consider product
modifications
1. Cultural differences make Chinese
consumers seek different value
propositions
2. Small is beautiful in China
3. Current consumer trends support ”smaller”
• Financial analysis of revenue
growth by 2015
• Wrap up
We recommend that…
…because… (supportive analysis and conclusions)
Note:
This box is
basically what to
tell on the
executive slide
122015

13. Example of the deductive storyline
• The company should expand their business to China…
• …By first targeting the coastal region…
• …While considering product modifications…
• …Resulting in a net turnover growth of USD 1bn in 2015
1. The market potentials
2. The growth rates
3. Current markets potential
4. Risks involved
5. Revenue possibilities in different markets
Ø China comes up as the most
lucrative market
1. Distribution of population and their net wealth
2. Growth across Chinese regions
Ø The coastal area is where the
Chinese expansion should start
1. Cultural differences
– Value propositions needed
– Spending patterns
– Consumer trends
Ø Packaging in smaller bundles is
needed
Ø Financial analysis of revenue
growth by 2015
Ø Wrap up
…leads us to recommend that…
Looking at… (analysis and conclusions)
Note:
Again, this box is
similar to the content of
the executive slide.
132015

14. Another example of the inductive storyline
14
Description
One can see how this
structure is closely linked to
the MECE framework. In fact
a good logical structure will
almost always follow from a
correctly constructed MECE
tree.
In the figure on the right it is
shown how one argument
builds upon the underlying
arguments.
• First the solution and its
impact is told.
• Then on level 2 the
possible markets are
presented.
• On level 3 the different
analysis are presented.
The Chinese outperformed
taking market size, risk
analysis, impact and ease
of implementation into
account.
• Finally, on level 4 the roll
out plan is justified.
Expand to China
realizing a USD 1bn
revenue growth
Chinese market
Market size &
growth Risk analysis Roll out plan
Region
feasibility
Product
portfolio &
channels
Consumer
behavior
Financial impact
Current markets
Market size &
growth
Other markets
Market size &
growth
Risk analysis
Which new market should the company expand to?
2015

15. Putting it all together: Telling a story during
the progression of the presentation
Key focus areas:
• Logic of progression through the presentation should be easy to follow
• By reading only the headers, the reader should be able to understand the case solution. See the example below
Executive slide
We recommend the company
to expand their business to
China and gain USD 1bn in
revenue because home
markets are under pressure.
Home market is weak…
• We see weak growth
• Increased competition
• Weak spending due to
financial crisis
…So other revenue
sources are needed…
1. Brazil
2. Russia
3. India
4. China
Ø China is the best option
…China is the most
promising market…
• High growth
• Large market
• Weak customer loyalty
• Resistance towards
western brands
…They can be won by
adapting product…
• Given consumer behaviour,
best way to enter is:
1. Enter
2. Adapt
3. Expand
…And will make further
expansion possible.
• Start in major cities
• Expand to coastal region
• 500 stores by 2015
So while still taking risks
into account…
• Risk 1
• Risk 2
• Risk 3
Ø How to mitigate risks
…Although Chinese
customers are different…
• Resistance towards
western brands due to
1. Reason 1
2. Reason 2
…Our solution will grow
topline by USD 1bn
Wrap up
Tell them what you told
them.
USD
1
bn
2020
Note:
This presentation is not a
solution for how you need
to structure (or design) your
presentation, but only
meant as an illustrative
example.
152015

16. The executive slide
[Setting the stage]
What is the current situation for the firm?
[Identify the problems(s) or opportunity]
[Propose solution]
• Argument 1
• Argument 2
• …
[Discuss impact/implications]
Financial and strategic impact
Executive slide
Setting
the stage
Executive slide
Identify
problem
Solution
• Arg. 1
• Arg. 2
• …
Impact
Description
It is recommended to put an executive slide in the beginning of your presentation, since this supports the inductive
reasoning.
The executive slide should…
– Make the reader able to understand your solution and why you have reached your conclusions
– Be the introductory slide for the presentation presented to the judges, should the team reach the finals
– Tell the same story as all the headlines of the presentation
Example A Example B
162015

17. PowerPoint do’s & don’ts
17
Introduction
This following sub-section is a collection of do’s
and don’ts regarding the visual setup of your
slides. Since you only have 10 slides, it is vital
that nothing is lost in translation, meaning do not
succumb to the usual PowerPoint mistakes.
The following examples are not an exhaustive
list of all powerpoint mistakes but a collection of
some of the most common mistakes that can
easily be avoided.
By making sure that your slides look more like
the ”do”-examples and less like the ”don’t”-
examples you increase the possibility for the
reader to understand the slides as it was
intentionally meant to be understood.
On the right you will find a list of the following
slides.
Overview
• Notation on graphs pp. 18
• Key takeaway in header pp. 19
• One message pr. slide pp. 20
• Less is more in graphs pp. 21
• Less is more in effects pp. 22
• Supporting the message pp. 23
• Illustrate instead of excessive
use of bullets pp. 24
2015

18. Remember notations on your graphs
Do Don’t
52,6
41
-­‐20
2
-­‐2
-­‐10
-­‐100
0
100
200
300
400
500
600
2007
2008
2009
2010
2011
2012
52,6
41
-­‐20
2
-­‐2
-­‐10
-­‐100
0
100
200
300
400
500
600
2007
2008
2009
2010
2011
2012
M
DKK
År
Revenue
EBITDA
Note: Only include data labels if they are needed to prove your point.
Also remember to include your source in the bottom of the slide. This adds credibility to your presentation.
Source: Annual report 2012
182015

19. Make sure to put the key takeaway from
your slides in the header
Do Don’t
Recent financial development
526
410
123
270
180
170
52,6
41
-­‐20
2
-­‐2
-­‐10
-­‐100
0
100
200
300
400
500
600
2007
2008
2009
2010
2011
2012
M
DKK
År
Revenue
EBITDA
Case Company has faced stagnating revenue growth and
swindling margins since financial crisis in 2009
-­‐100
0
100
200
300
400
500
600
2007
2008
2009
2010
2011
2012
M
DKK
År
Revenue
EBITDA
192015

20. Tell only one key message per slide
Do Don’t
CaseCompany has not recovered from financial crisis and
current plan will not meet 2018 turnover target
Note: Due to the limitation of 10 slides per solution, it may prove necessary to cram more information into every slide, but it is
strongly recommended to only deliver one key message per slide.
CaseCompany has important revenue drivers, but it has resulted in poor post-
crisis growth and cost savings initiatives from previous strategy plan will not be
able to satisfy shareholder expectations of USD 1 bn in turnover by 2018
Revenue
• Driver1
• Driver2
Cost
• Driver
1
• Driver
2
• Driver
3
Profit
Cost
saving
ini;a;ves
from
”2018-­‐Plan”
• Reduce
overhead
by
10%
• Divest
subsidiary1
• Procurement
Savings
Plan
• Tager:
50M
DKK
• Outsource
of
produc;on
to
India
Recent performance Turnover forecast
2015 Target
202015

21. Less is more when it comes to data
presentation
Do Don’t
Note: Design your graph so the reader quickly and easily can read it.
Revenue split into carrier type and region
212015

22. Less is more when it comes to colours and
effects
Do Don’t
Note: …and it looks unprofessional.
222015

23. Make sure only things that back up the
message of the slide is included
Do Don’t
Note: Images should only be included if they help to make a point clearer. Here this is hardly the case, even on the left-hand
slide the value added from the images is limited.
23
Design for social change
requires three key initiatives
Structure new business models to diversify
withholding and manage assets
Gravitate to situation-oriented business
models
Find new eco-friendly consumer-oriented
byproducts
2015

24. A ”figure” is worth a thousand bullets
Do Don’t
Note: Excessive use of bullets dilutes their purpose. A bullet point is a short concise point – don’t put 20 short concise points
on one slide. Not only is it tedious to read, it also hides the message of the slide.
242015

25. Practicalities
Description
This section describes some of the most
important practicalities that lies outside the
actual problem solving process and case
solution. That being said, the practicalities
included and described in this section has a high
probability of making the 24 hours of case
solving easier. If ignored, there is a high
probability of making the case solving hours
more difficult.
Time management:
Due to the time pressure, a good plan will
ensure that the team makes the most of the
available time.
Quotes from the insiders:
This section includes some insiders’ tips for what
things the teams should strive to have under
control before the actual case launch.
Content:
• Time management pp. 26
• Quotes from the
insiders pp. 27
252015

26. Develop
solu;on
19:00
Ini;al
data
research
Retest
hypethesis
Brain
storm
Struc-­‐
turing
10:00
11:00
12:00
13:00
14:00
15:00
16:00
17:00
18:00
2hr
checkup.
Are
we
aligned?
Develop
inital
hypothesis
Draw up a time plan before the case launch
Develop
solu;on
Buffer/
rehearse
20:00
21:00
22:00
23:00
24:00
01:00
02:00
08:00
09:00
2hr
checkup
2hr
checkup
Gather
slides
Final
version
Sleep
The time plan does not have to be as specific
as this one, but a rough time plan will certainly
prove helpful as it will help the team not spend
too much time on unnecessary tasks. E.g.
analysis of markets irrelevant for the case
solution, spending too much time on data
search etc.
Also the team should note that the time plan will
almost certainly not be held, as unavoidable
events will happen during the case solving.
However, making a time plan will keep
reminding the team that time is precious and
spending it unwisely is not recommended.
Lastly, this time plan is not the golden rule as to
how to allocate the 24 hours but only an
example. The golden rule that does persist is,
the more specific the time plan, the more it will
help throughout the process.
Description Example
262015

27. Quotes from the insiders
My five cents on practicalities would
definitely be to assign team roles and
know each others relative strengths and
weaknesses. Having the discussion
before the launch as well as a time
manager saved us time.
Remember to buy
snacks, snacks,
snacks & more
snacks.
Set up the master slide
before the case launches.
We wasted at least 3 hrs.
setting up and agreeing on
the layout.
Practice makes perfect. It was so evident
that the more training cases we did, the
better we got.
Know your data sources.
Having the best data
available is a competitive
advantage.
“
“
“
“
“
“
“
“
“ “
27
It is very wise to save some time in the end
for iteration, going through every slide
asking the questions: What do we want to
tell with this slide and will the reader
understand it.
“
“
2015

28. Industry Overview
Description
This section describes some of the typical
industries that cases revolve around. The given
industry description serves as a guideline of the
key aspects to consider within a particular
industry. Please note that the industry list is not
exhaustive, and there may therefore be
additional industries that you may need to do
research on yourself. Also, please note that the
industry snap shots are not a recipe for success,
but rather a guideline and help for those who
have limited knowledge about the industry (for
instance non-business students).
Each industry snapshot entails a short
description of key trends, competitive landscape,
customers, channels, and profit summary.
Content:
• Transportation p. 29
• Consumer Packaged
Goods (CPG) p. 30
• Finance p. 31
• Manufacturing p. 32
• Media p. 33
• Pharmaceuticals p. 34
• Entertainment p. 35
• Technology p. 36
282015

29. • Transportation companies provide transport services for passengers and/or for freight, and
can be done either via rail, road, air, or water
Transportation
Description
292015
• Increase of cost competition as more transportation service types become more freely
available
• Can be seasonal for certain types of transportation services
• Private individuals
• Corporations/small businesses
• Travel web sites/resellers
• Fare revenues; administrative & handling fees; add-on service sales
• Variable costs: fuel; food and beverage; staff/hourly employees
• Fixed costs: fleet leases; gate/port leases; IT/admin costs; salaried employees
Key trends
Customers
Revenue drivers
Cost drivers

30. • CPG companies provide consumers with a range of household products and the like, such
as soaps, pet supplies, snack foods etc
Consumer Packaged Goods (CPG)
Description
302015
• Consumer lifestyle, e.g. aging population, social networks, online ads, go green, etc
• Product mix and brand management are critical to CPG companies
• Private customers
• Business customers
• Volume of goods sold; price premium on branded goods; new product introductions
• Branding; sales; marketing; COGS (commodity costs – raw & packaging material)
Key trends
Customers
Revenue drivers
Cost drivers

31. • Broad range of financial products (deposit services, credit cards, loans, etc.) are sold by
banks whose main function is to collect money from those who have savings and loan
money to those who need it
Finance (Consumer Banking)
Description
312015
• Financial crisis threatened solvency of industry due to illiquid and un-valuable assets
• Consolidated, mature industry with growth through acquisitions
• Demographic shift creating a large market for retirement products
• Individual consumers, especially high net worth consumers
• Small/medium businesses without sufficient size for larger investment banking financing
services
• Difference between the bank’s borrowing cost and the interest rates charged to borrowers;
administrative fees for services
• Administration; salaries; writing off bad debt, bank branch offices
Key trends
Customers
Revenue drivers
Cost drivers

32. • This sector includes companies that are in the business of mechanical, physical, or
chemical transformation of materials/substances/components into new products
• Subsectors of manufacturing include: textile, paper, chemical, computer/electronics,
transportation equipment, machinery
Manufacturing
Description
322015
• Manufacturing is highly cyclical in most sectors
• Higher cost structure (labor in many cases) leads companies to outsource manufacturing
to lower-cost regions of the world
• End-consumer; OEM (original equipment manufacturer); B2B (Business-to-business)
• Diversity of customers; volume; emerging markets; adjacent industries; new technologies/
products
• Potential outsourcing quality costs; supply chain management (inventory turns); labor; raw
material; channel management; marketing; capital investment in equipment
Key trends
Customers
Revenue drivers
Cost drivers

33. • The media sector includes print, audio, and video content generation
• Primarily an advertising-supported industry, the traditional media space faces
unprecedented challenges as online media continues to disrupt traditional business models
Media
Description
332015
• The rapidly advancing speed of the internet and wireless devices change the consumption
pattern of media
• The proliferation of “free” content has harmed content generators but created opportunities
for new channels.
• Individual end-consumers
• Business users
• Advertisers
• Advertising; subscriptions; individual sales
• Variable costs: salaries; technological equipment
• Fixed costs: Studios/press offices; overhead; marketing; advertising
Key trends
Customers
Revenue drivers
Cost drivers

34. • Pharmaceutical companies produce original patent-protected (for a certain period of time)
drugs for human and animal diseases
• Generic drug producers produce ‘copy-cat’ drugs (with the same medical result) at a lower
development cost when the originator drug’s patent expires
Pharmaceuticals
Description
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• Price competition from generic drug manufacturers
• Increasing pressure from health insurance companies and hospital chains to reduce prices
• R&D challenge of finding high revenue drugs
• Doctors who prescribe these medicines
• Insurance companies that pay for them
• Patients/consumers who need these drugs/medicines
• Patent premium; buy-in from doctors that will prescribe; speed to market; niche products
• Variable costs: sales; marketing; raw material, salaries
• Fixed costs: R&D; equipment; machines
Key trends
Customers
Revenue drivers
Cost drivers

35. • The entertainment industry provides different services and products for customers' leisure
time
Entertainment
Description
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• Increasing competition from stay-at-home or other free alternatives of entertainment
compared to traditional entertainment types
• Individual customers
• Business arrangements
• Service/product/ticket sales, subscriptions, gadgets sales; add-on sales
• Variable costs: raw materials; salaries
• Fixed costs: equipment, venue areas; advertising
Key trends
Customers
Revenue drivers
Cost drivers

36. • The technology industry broadly consists of the systems (PCs, servers), semiconductors,
communications equipment software, internet, and IT services subsectors
Technology
Description
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• Increasing M&A activity: aggregation offering customers a one stop shop proposition
• Co-opetition: Leading vendors co-exist as competitors and collaborators
• Cloud Computing: Offering IT as outsourced utility has implications across subsectors
• Individual customers
• Enterprise, SMB (small/medium businesses)
• Retail channel customers
• Subscriptions; licenses; maintenance; renewals, revenue per click
• Variable costs: salaries, advertising
• Fixed costs: R&D; equipment: gross margins, R&D
Key trends
Customers
Revenue drivers
Cost drivers

37. Additional reading
Online
Here we have listed external sources and additional
readings that are also useful for the case solving team.
• Choosing the right kind of chart:
http://extremepresentation.typepad.com/files/
choosing-a-good-chart-09.pdf
• Previous cases:
http://www.casecompetition.com/case_solving/
previous_cases
• www.caseinterview.com
• www.bcgperspectives.com
• Data sources:
http://www.eiu.com/
http://research.thomsonib.com/
Offline
• How to structure your argument:
Barbera Minto – The pyramid principle
• Presentation design advice:
Gary Reynolds – Presentation Zen
Nancy Duarte - Slideology
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