Candidate view
A grocery chain buys its rival
The prompt
A fictional Saudi grocery chain with 28 percent of its city's market wants to buy a rival with 17 percent. It expects to save 1 percent on combined purchases of SAR 6 billion a year. It also expects to remove a duplicate regional management layer of 40 roles costing SAR 400,000 each. The competition authority may require it to sell 15 overlapping stores that earn SAR 2 million profit each. The rival's 2 million loyalty members agreed to the rival's use of their data only. So the buyer must ask again. It expects 60 percent to agree, and values each usable member at SAR 10 of profit a year (illustrative numbers). What is the deal worth a year, and what would you tell the client?
Your interviewer will share data as you ask for it. Ask clarifying questions, state a hypothesis, then lay out your structure out loud before you calculate.
Case timer
00:00
Notes stay on this page only. They are not saved and are gone when you leave or reload.
Finished the case and heard your feedback? Mark it done so it counts in your progress on this device.
Next: another case in Partner mode
Each case you answer out loud and hear scored makes the next one easier to open and close.