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Our client is a major convenience store chain with 5,000 stores in the US and $25B in annual revenues.  There are 4 major companies (including the client) in the industry that control 95% of the market.  Each has a roughly similar share of the market.   

Client is not interested in expanding/changing product line and doesn’t want to expand internationally due to logistical concerns. There are no desirable M&A targets. Client charges same price per item in each of its stores. (i.e. no difference between prices of one item in Manhattan versus Durham). All other costs (overhead, etc.) should be considered the same across the 4 major chains.

About one year ago their CEO hired our firm to help increase profits. Since then, we have worked with the client to aggressively control costs through negotiating larger discounts from suppliers, restructuring the client’s labor force, and cutting other operating expenses by 10%.  

As a result of our work, our partners believe there is little room for cost reductions going forward.  

How else can we increase profits for our client?

Case Study Overview

Are you looking for consulting case study examples? This BCG case study will help you prep for your next second round interview. Your client is a major convenience store chain looking for ways to increase profits. Under our firm’s guidance, they have cut costs over the last year and are looking to you to find another way to increase profits. Your job is to dive into profitability and find new ways to increase profits that haven’t been explored yet.

The Profitability Framework will help you solve this case, but we recommend going further. The most sought after candidates take existing frameworks and develop their own structure using their business acumen.

There are five math exhibits in this BCG case study. The qualitative difficulty is 4 out of 4, making this an advanced case interview typical for a final round BCG interview.

BCG Interview Tips

What does BCG look for in a candidate? Someone who can build a clear structure and has the ability to articulate that structure.

Ensure you have a crystal-clear picture of your structure in your mind as you prepare, and that you can articulate each step of the process. They will want to know how you arrived at the answer instead of the answer itself.

To get the most from this case study do the following:

  • Time yourself. Spend 2 minutes to build and present your structure, 2 minutes for brainstorming, 5 minutes for math, and 2 minutes for a final recommendation.
  • Focus on identifying one key takeaway that you can work on for next time.
  • Polish and refine your presentation skills.

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