如何应付案例分析面试331235.docx
Firm: A.T. KearneyCase Number:Case settup (faactss offferred by inttervviewwer):q Your cliientt iss a U.SS. bbaseed mmanuufaccturrer of braandeed ccookkiess (ccookkiess thhat carrry thee naame of thee maanuffacttureer)q Recenntlyy prrivaate labbel coookiees (thoose carrryiing thee naame of thee reetaiilerr) hhavee emmergged andd thhreaatenned braandeed ccookkiessØ Privaate labbel coookiees eemerrgedd fiive yeaars agooØ Two aand onee-haalf yeaars agoo thhey madde uup 110% of thee ovveraall coookiee maarkeet (braand beiing thee ottherr 900%)Ø Todayy thhey makke uup aapprroxiimattelyy 200% oof tthe oveeralll ccookkie marrkett (ii.e., ttherre hhas beeen aa stteaddy, linnearr inncreeasee off prrivaate labbel porrtioon oof tthe oveeralll ccookkie marrkett duurinng tthe passt ffivee yeearss)Ø The ooverralll coookiie mmarkket hass beeen rellatiivelly fflatt ovver thee paast fivve yyearrsq Privaate labbel coookiees aare madde bby tthe samme mmanuufaccturrerss whho mmakee brrandded coookiees, theey aare jusst ssoldd unnderr thhe nnamee off thhe rretaaileerq Theree arre eesseentiiallly tthreee mmajoor ccomppetiitorrs tto cconssideer:Ø Your cliientt, wwho makkes onlly bbranndedd coookiiesØ A seccondd maajorr pllayeer, thaat mmakees bbothh brrandded coookiees aand supppliies coookiees ffor priivatte llabeelerrsØ A colllecctioon oof ssmalll ooutffitss, tthatt maake botth bbranndedd coookiies andd suupplly pprivvatee laabellerssq Distrribuutioon ooccuurs priimarrilyy thhrouugh onee off twwo ttypees oof ooutlletss:Ø Groceery outtletts: alll grroceers selll bbranndedd coookiies, moost alsso ccarrry ttheiir oown priivatte llabeel ccookkiess. TThiss reepreesennts appproxximaatelly 990% of tottal coookiee saalessØ Mass merrchaandiiserrs (ex. Waalmaart, Saamss, eetc.): selll oonlyy brrandded coookieesQuesttionn:q How llargge wwoulld yyou esttimaate thee ovveraall U.SS. ccookkie marrkett too bee inn teermss off $?q How llargge oof aa thhreaat ddo yyou bellievve tthe treend in priivatte llabeel ccookkie salles to be to youur cclieent?q Basedd onn yoour asssesssmennt, whaat iis aan aapprroprriatte sstraateggy ffor youur cclieent to follloww?Suggeesteed ssoluutioons:The ffirsst qquesstioon, esttimaatinng tthe sizze oof tthe U.SS. ccookkie marrkett, hhas no rigght or wroong ansswerr. IIt iis aa teest of a ccanddidaates aabillityy too maake reaasonnablle aassuumpttionns aand worrk qquiccklyy wiith nummberrs oon aan “oordeer oof mmagnnituude” levvel. Onne aacceeptaablee reespoonsee woouldd bee too esstimmatee thhe nnumbber of U.SS. hhoussehooldss, eestiimatte hhoussehoold connsummptiion oveer ssomee peeriood oof ttimee, eestiimatte tthe aveeragge ccostt off a bagg off coookiies, annd pprojjectt ouut ffor onee yeear. Inn thhis casse, aftter an esttimaate hass beeen madde, thee caandiidatte wwoulld bbe ttoldd too asssumme tthe marrkett siize is $1BBilllionn too siimpllifyy anny ffutuure callcullatiionss. AAs sstatted in thee uppfroont infformmatiion, thhe mmarkket is asssumeed tto hhavee beeen flaat ffor thee paast fivve yyearrs.The ssecoond queestiion is morre iinvoolveed. It invvolvves dettermminiing to whaat eexteent youur cclieent is thrreatteneed bby tthe inccreaasinng pperccentt off thhe ooverralll coookiie mmarkket reppressentted by priivatte llabeel ssalees. To bettterr annsweer tthiss quuesttionn innforrmattionn shhoulld bbe ggathhereed pperttainningg too whhat is driivinng tthe demmandd foor pprivvatee laabell coookiies, too whhat exttentt thhis hass allreaady afffectted youur cclieents ssalees, andd whhat thee liikellihoood is forr thhe ttrennd tto cconttinuue. Thhe ffolllowiing aree quuesttionns aand ansswerrs tthatt woouldd bee prroviidedd inn ann innterrvieew sscennariio.q What aree thhe ssalees ttrennds forr thhe cclieent oveer tthe passt ffivee yeearss?Your cliientts salles havve bbeenn fllat at $6000M forr thhe ttimee frramee off fiive to twoo annd oone-hallf yyearrs aago. Ovver thee paast twoo annd oone-hallf yyearrs, salles havve ddecrreassed steeadiily dowwn tto aa prreseent levvel of $5660MMM.q How hhas marrkett shharee off thhe pprivvatee laabell seegmeent beeen sspliit ooverr thhe ppastt fiive yeaars bettweeen yyourr cllienntss maain commpettitoor aand thee ottherr smmalller plaayerrs?The ssmalllerr pllayeers commbinned hadd 1000% of thee prrivaate labbel subbseggmennt ffivee yeearss aggo. Twwo aand onee-haalf yeaars agoo yoour cliientts maiin ccomppetiitorr beegann suuppllyinng pprivvatee laabellerss. TTodaay, thiis mmainn coompeetittor ownns 440% of thee prrivaate labbel subbseggmennt, thee smmalller plaayerrs oown thee reemaiininng 660%q How hhas marrkett shharee off thhe bbranndedd seegmeent beeen sspliit ooverr thhe ppastt fiive yeaars?Your cliientt heeld 60% off thhis seggmennt ffivee yeearss aggo, 67% twwo aand onee-haalf yeaars agoo annd 770% todday. Itts mmainn coompeetittor helld 330% fivve yyearrs aago, 255% ttwo andd onne-hhalff yeearss aggo aand 23% toodayy. TThe commbinned smaalleer pplayyerss owwnedd 100% ffivee yeearss aggo, 8% twoo annd oone-hallf yyearrs aago andd 7% toodayy.Analssis of thee abbovee innforrmattionn teellss a verry iimpoortaant stoory. Thhe pprivvatee laabell seegmeent wass laauncchedd fiive yeaars agoo byy thhe ssmalllerr pllayeers. Ass prrivaate labbel firrst cutt innto thee brrandded seggmennt, it camme aat tthe exppensse oof yyourr cllienntss maain commpettitoor aand thee smmalller plaayerrs, nott yoour cliientt. IIn rrespponsse tto tthiss, yyourr cllienntss maain commpettitoor eenteeredd innto thee prrivaate labbel seggmennt ttwo andd onne-hhalff yeearss aggo. Thiis ffurttherr huurt theeir ownn saaless annd tthosse oof tthe smaalleer pplayyerss, bbut alsso bbegaan tto hhurtt yoour cliientts salles. Adddittionnal infformmatiion is reqquirred to unddersstannd wwhatt iss drriviing thee deemannd ffor priivatte llabeel ccookkiessq How ddoess thhe qquallityy off a priivatte llabeel ccookkie commparre tto tthatt off a braandeed ccookkie?Consuumerr sttudiies havve sshowwn tthatt thheree iss a notticeeablle ddifffereencee inn taastee, ttextturee annd qquallityy inn faavorr off thhe bbranndedd coookiiesq At thhe mmanuufaccturringg leevell, wwhatt iss thhe ddifffereencee inn coost of prooducctioon aand priice bettweeen bbranndedd annd pprivvatee laabell prroduuctss?It coostss appprooximmateely $1.50 to mannufaactuure a bbag of priivatte llabeel ccookkiess whhichh wiill selll ffor $2.00 too reetaiilerrs. It cossts appproxximaatelly $2.000 tto mmanuufaccturre aa baag oof bbranndedd coookiies whiich willl sselll foor $2.775.q How ddo tthe samme nnumbberss trransslatte aat tthe rettaill leevell?A rettailler, paayinng $2.000 ffor priivatte llabeel ccookkiess caan sselll thhat prooducct ffor $2.50. Thhe $2.775 bbag of braandeed ccookkiess caan bbe ssoldd foor $3.550.The kkey finndinng iis tthatt frrom a ccostt-prricee-maargiin ppersspecctivve iit iis aadvaantaageoous forr booth thee maanuffacttureers andd thhe rretaaileers, wiith alll ellse equual, too seell a bbag of braandeed ccookkiess. OOtheer ffacttorss muust be conntriibuttingg too thhe ddemaand forr prrivaate labbel coookiees. Thiink aboout thee inncenntivves at eacch lleveel iin tthe chaain (maanuffacttureer, rettailler, coonsuumerr). Thee foolloowinng qquesstioons cann heelp filll iin ddetaailssq Have anyy off thhe mmanuufaccturrerss beeen ablle tto ggainn adddittionnal sheelf spaace forr brrandded prooduccts by suppplyyingg grroceers witth pprivvatee laabell prroduuctss?Noq Has ttheiir bbeenn exxcesss ccapaacitty aat yyourr clliennt, itss maain commpettitoor oor tthe smaalleer ccomppetiitorrs tthatt haas bbeenn ussed up thrrouggh tthe mannufaactuurinng oof pprivvatee laabell prroduuctss?Theree waas ssomee exxcesss ccapaacitty aat tthe smaalleer ccomppetiitorrs aand youur cclieents mmainn coompeetittor (yoour cliientt iss unnsurre aas tto hhow mucch). TTherre iis llitttle exccesss caapaccityy annywhheree inn thhe iinduustrry ttodaay.q Has yyourr cllienntss reelattionnshiip wwithh itts rretaaileers suffferred as a rresuult of it nott suuppllyinng pprivvatee laabell prroduuctss?Not nnotiiceaablyyq Are ggrocceryy sttorees uusinng pprivvatee laabells iin ootheer ffoodd caateggoriies?Yes, theere hass beeen a mmajoor ppushh byy grroceery stooress too poopullatee shhelvves witth pprivvatee laabellsq Is coompeetittionn inncreeasiing or deccreaasinng aamonng ggroccerss?Generrallly iincrreassingg. GGroccer chaainss arre eexpaandiing andd thhe nnumbber of groocerrs tto bbe ffounnd sservvingg a givven areea hhas genneraallyy inncreeaseed ooverr thhe ppastt fiive yeaarsq What genneraal mmacrroecconoomicc trrendds hhavee occcurrredd ovver thee paast fivve yyearrs?The eeconnomyy haas bbeenn sllowiing oveer tthe passt ffivee yeearss. TTherre iis cconccernn abboutt reecesssioonThe aabovve iinfoormaatioon bbegiins to expposee a cleeareer sstorry. A nnumbber of facctorrs hhavee coontrribuutedd too thhe eemerrgennce of thee prrivaate labbel seggmennt: mannufaactuurerrs inttereest in utiilizzingg exxcesss ccapaacitty, groocerrs dessiree too seell prooduccts witth ttheiir nnamee onn itt (ttheyy maay bbeliievee thhis creeatees rretuurn cusstommerss inn ann inncreeasiing commpettitiive envviroonmeent), cconssumeers conncerrns aboout a ttrouubleed eeconnomyy (ppricce vvs. quaalitty ttraddeofffs). At thhis poiint thee caandiidatte wwoulld bbe eencoouraagedd too sttatee whhat theey bbeliievee thhe mmagnnituurdee off thhe pprivvatee laabell thhreaat tto bbe tto tthe cliientt. TTherre iis nno rrighht aanswwer. Onne ccan arggue eittherr waay. If thhe tthreeat is seeen aas hhighh, tthe likkelyy reecommmenndattionn iss foor yyourr clliennt tto bbegiin ssuppplyiing priivatte llabeel pprodductts. Thee caandiidatte sshouuld reccognnizee thhat in commpettingg inn thhe pprivvatee laabell seegmeent, thhe bbasiis oof ccomppetiitioon iis pprimmariily cosst. At thee saame timme, thee cllienntss brrandded prooducct sshouuld be prootecctedd. TThe folllowwingg taactiics migght proove appproppriaate:q Seek to wriing cossts outt off alll pphasses of thee opperaatioonØ Utiliize alll exxisttingg exxcesss ccapaacittyØ Gain maxximuum pprodductt knnowlledgge aas qquiccklyy ass poossiibleeØ Underrstaand loww coost possitiionss onn prroduuct inggreddiennts andd miixØ Revieew pproccesss immproovemmentt/ mmanuufaccturringg effficcienncy oppporttuniitieesØ Underrtakke ooverrheaad rreduuctiion efffortts(Any of theese poiintss coouldd bee diiscuusseed iin ggreaat ddetaail)q Ensurre ttherre iis nno ccusttomeer cconffusiion bettweeen pprivvatee laabell offferringg annd bbranndedd prroduuctq Seek parrtneerinng aagreeemeentss wiith rettaillerssØ Jointt addverrtissingg annd pprommotiionssq Exploore deaals witth mmasss meerchhanddiseers to entter priivatte llabeels (reememmberr, mmasss meerchhanddiseers preesenntlyy seell no priivatte llabeel)If thhe tthreeat is seeen aas llow, thhe llikeely reccommmenddatiion is forr yoour cliientt too sttay witth bbranndedd coookiies onlly. Thee caandiidatte sshouuld reccognnizee thhat in commpettingg inn thhe bbranndedd seegmeent thee baasiss off coompeetittionn iss onne oof ddifffereentiiatiion. Adddittionnallly, youur cclieent shoouldd doo alll iit ccan to hallt oor rreveersee thhe mmomeentuum oof tthe priivatte llabeel ssegmmentt. TThe folllowwingg taactiics migght proove useefull:q Pursuue aa maaximmum diffferrenttiattionn sttrattegyyØ Invesst iin bbrannd iimagge tto ssuppportt prremiium priiceØ Make it diffficcultt too coopy prooducct: innnovaate wisselyy thhrouugh prooducct aadvaancees, smaart prooducct llinee exxtennsioons, frrequuentt chhangges to thee prroduuctØ Managge ppricce ggap: exxploore priice inccreaasess whheree appproopriiatee( Agaain, anny oof tthesse ppoinnts couuld be disscusssedd inn grreatt deetaiil)q Exploore excclussivee paartnneriing witth mmasss meerchhanddiseersq Consiiderr allterrnattivee diistrribuutioon cchannnellsq Seek parrtneerinng aagreeemeentss wiith groocerrs rregaardiing braandeed pprodducttsq Educaate groocerrs aas aavaiilabbleØ Custoomerrs wwho buyy prrivaate labbelss arre tthe mosst ppricce ssenssitiive. Thhey alsso ttendd too bee thhe lleasst lloyaal ccusttomeers andd sppendd leess perr sttoree viisitt.Ø Groceers finnancciall sttakee inn prrivaate labbel prooduccts exttendds bbeyoond thee prroduuct marrginns. Theere is losst pproffit froom bbranndedd prroduuctss thhat couuld occcupyy thhe ssamee shhelff sppacee, aadveertiisinng ccostts oof tthe priivatte llabeel pprodductts, etcc.Key ttakeeawaays:This casse hhas no rigght or wroong ansswerr. IIt fforcces thee caandiidatte tto ttakee a staand in a “ggreyy” ssituuatiion andd deefennd iit. It alsso pprovvidees aa laargee ammounnt oof ddataa uppfroont whiich thee caandiidatte mmustt quuickkly sorrt tthrooughh annd ddeteermiine whaat iis iimpoortaant andd whhat is nott. TThe keyy iss too unnderrstaand thee sttoryy beehinnd tthe datta. Howw diid tthe priivatte llabeel ssegmmentt emmergge? Whaat iis ddrivvingg itt? HHow hass itt afffecctedd maanuffacttureers, reetaiilerrs aand connsummerss?
