575: Why candidates fail profit cases (Case Interview & Management Consulting classics)
May 10, 2023•5 min
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Episode description
For this episode, let's revisit a Case Interview & Management Consulting classic where we discuss why candidates fail profit cases.
Most candidates would tackle a McKinsey profitability case by presenting a revenue-cost framework and offer options to lower costs and increase revenue. The reality is that such a framework and explanation shows a deep misunderstanding of business and business strategy. In this podcast, we present the correct way to understand profitability cases which require candidates to understand the growth and cost of growth needs of shareholders. This logic never fails to impress interviewers.
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