Your client CanadaCo is the largest discount retailer in Canada, with 500 stores spread throughout the country. A discount retailer sells a large variety of consumer goods at discounted prices, generally carrying everything from housewares and appliances to clothing. Kmart, Woolworth, and Wal-Mart are prime examples in the United States.
For several years running, CanadaCo has surpassed the second-largest Canadian retailer (300 stores) in both relative market share and profitability. However, the largest discount retailer in the United States, USCo, has just bought out CanadaCo’s competition and is planning to convert all 300 stores to USCo stores.
The CEO of CanadaCo is quite perturbed by this turn of events, and asks you the following questions:
- Should I be worried?
- How should I react?
How would you advise the CEO?
BCG Case Study Overview
Your client is a discount retailer in Canada who is facing steep competition from their US counterpart. You have been hired to assess the situation and give your client a realistic picture of what to expect and how to react to the news of their competitor’s recent acquisitions. In this consulting case study, you are being asked to examine the market and develop a strategy to protect your client’s market share.
This is one of many consulting case studies in our library that will give you a deep dive into the world of market share to prepare for your upcoming interview.You can use the Market Study Framework to solve this case, but we highly recommend blending your own business acumen with the framework to come up with a custom structure for this problem.
BCG consulting case studies like this have a qualitative difficulty score of 2 out of 4 and no math exhibits. This an intermediate case interview you might be given in a second round BCG interview.
BCG Interview Tips
BCG is looking for candidates that are structured and practice concise communication when sharing their findings.
Focus on creating a structure that is crystal-clear, and be ready to verbalize each part of your process..
In this BCG case study, focus on 2 things:
- Timing yourself as you run through the case: 2min for structure, 5min for math, 2min for brainstorming, and 2min for a conclusion
- Concise communication and overall polish
Book an hour of out-loud practice with an ex-MBB coach.
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