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Case Study Prompt

Your client is SolarCo, a maker of battery cells used as an input for residential and commercial solar panels. You have been assigned to a workstream aimed at maintaining the profitability of its largest plant. Some facts about the plant:

  • Revenue: $50m
  • Local market share: 50% (hard target – cannot allow decrease to happen)
  • Profit margin: 5% (hard target – cannot allow decrease to happen)

The plant’s largest local competitor (40% market share) has launched a rebate program designed to steal our market share. According to initial estimates, it would cost the SolarCo plant $500k annually to implement a similar program and offset the effects of the competitor’s program.

Do you recommend that SolarCo implement a similar program?

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