Mit Cases Book

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The MIT Sloan School of Management

Management Consulting Club

Case Book
and
Interview Guide
October 2001

The MIT Sloan School of Management

Management Consulting Club
Many thanks to the MCC Case Book and Interview Guide Sponsors:
Gold Sponsor:

Case Contributors:

i
Management Consulting Club
2001-2002 Case Book and Interview Guide

T
able of ContentsIntroduction............................................... 3

Financial Concepts ................................... 43

Chapter 1: How to Use the Case Book and
Interview Guide ......................................... 5

Accounting Concepts ............................... 46

Chapter 2: Etiquette and the Interview
Process ....................................................... 6

Chapter 8: PracticeCases and Solutions57

Chapter 3: The Personal Interview .......... 7
Format ........................................................ 7
Preparation ................................................ 7
The Physical Factors of Interviewing .... 11
“Any questions for me?” ........................ 12
After the Interview .................................. 13

Chapter 4: Typical PersonalInterview
Questions ................................................. 15
Be prepared for these! ............................ 15
Possible approaches to tough questions 17

Chapter 5: The Case Question ............... 21
Format ...................................................... 21

Micro and Macroeconomic Concepts..... 54
Brain Teasers............................................ 57
MarketSizing ........................................... 63
Operations ................................................ 69
Strategy ................................................... 105
Other Cases ............................................ 158

Chapter 9: Sources for More Help ....... 165
About the Consulting Industry ............. 165
Researching Consulting Firms.............. 166
PersonalInterviewing ............................ 166
Case Interviews ...................................... 166

Appendix: Recent Cases Provided by
Consulting Firms .................................. 167

Preparation .............................................. 22
Types of Cases ......................................... 22
Practice Cases: sample cases .................. 27
Case InterviewTips................................. 28

Chapter 6: Consulting Frameworks and
Tools ........................................................ 30
Typical business issues and related
frameworks .............................................. 31
Profitability Analysis .............................. 32
Market expansion and Opportunities
Assessment ............................................... 33Competitive analysis: The 3 C’s Customer, Company, Competition ........ 40
Marketing strategy: the 4 P’s ................. 41

Chapter 7: Basic Financial, Accounting
and Economic Concepts ......................... 43

ii
Management Consulting Club
2001-2002 Case Book and Interview Guide

Introduction
Dear Club Member,
Welcome to your first step in a rewarding career as a managementconsultant: the interview process. Your
fellow club members produce the Case Book and Interview Guide to give you a head start as you work
through the long process of getting that dream job offer.
MIT Sloan is arguably the most successful business school in the world for training management
consultants and, just as importantly, placing them with firms.
Just consider these facts:


Nearly 40%of MIT Sloan students go into the consulting profession on leaving Sloan.



The median base starting salary for MIT Sloan students entering consulting in 1999 was
$95,000 and the median total compensation $140,000.

This status will be maintained partly by the standard of interactive preparation. We recommend you
use this casebook and other resources to practice, practice, and practice...
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