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GOTONet, an ISP (Internet Service Provider) offering services in the United States, is thinking about entering the European market for ISPs. Thus far, they have successfully captured the dominant position and sustained profitability domestically, by charging an annual access fee for access and receiving a percentage of all e-commerce transactions that their subscribers undertake.

GOTONet has already performed some due diligence on the ISP market in Europe. They have learned that the market had been very fragmented, but a new entrant has recently captured a high degree of market share by offering consumers free Internet access.

You are in a meeting with the CEO of GOTONet and have been asked to perform some quick “back of the envelope calculations” on the implications of providing free internet access. How would you structure your approach?

Case Overview

In this case from the case library catalog, the client is an Internet Service Provider in the US looking to enter the European market. There is one competitor that has managed to capture a large chunk of the market through offering free internet service. The client has asked you to quickly determine the viability and implications of offering free internet access.

The Profitability Framework is a good place to start when developing a structure for the case, but don’t stop there. Use your knowledge of the basic frameworks and business acumen to build a custom framework.

With a qualitative difficulty score of 2/4, this is a case study similar to what you could expect from a OC&C first or second round interview. There are no math diagrams in the case.

Interview Tips: OC&C

OC&C is looking for candidates who showcase the ability to use common sense and logic in their workflows

Stick to basic business principles when creating your structure for the case.

For the best case practice, find 1 or 2 areas where you need to grow. Start work on those gap areas as soon as possible.

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