The Case Interview
What is the Case Interview?
Management Consulting companies utilize the case interview to test applicants on their problem solving abilities. Generally speaking, the interviewer presents you with a hypothetical business problem, and you need to be able to present a solution in a structured manner within 30 minutes to an hour.
Example prompts include: whether or not someone should open an ice cream business in Chicago, how a pharmaceutical company should price a new drug, if a company should acquire another company, and so on. There often is no right answer to the business problem; thus, the interviewer cares more about how you think and reason rather than the actual conclusion you came up with. The case interview is a small simulation of the work that consultants do over months.
Case Interview Formats
Interviewee-Led
This is the most common type of case interview. After the interviewer provides the initial business problem, it is up to the interviewee to ask questions and drive the case. Bain, BCG, Deloitte, and other firms employ this method.
Interviewer-Led
The interviewer leads the prospective job candidate through predetermined scenarios and questions. McKinsey is known for utilizing the interviewer-led format.
Group Cases
This is not a common of interview format. Candidates are put in a room together and tasked to solve a problem together. This type of interview tests teamwork skills and what kinds of roles people take on in a group setting.
Case Interview Frameworks
When approaching the problem presented in a case interview, you should tackle it in a structured way. Being able to create a framework will help you take an open-ended problem and break it up into smaller parts that are more manageable.
Existing common frameworks include: Profitability (Profit = Revenue - Costs), the 4Ps, the 3Cs, and Porter’s Five Forces. You may use these frameworks as a starting point, but you should not try to memorize all frameworks and use them in interviews. Interviewers will deduct points when they recognize that you are just repeating given frameworks, as they are trying to test how you think, not how much you have memorized. Case interview books provide different strategies for constructing your own frameworks.
Common case scenarios include:
Market Entry
Mergers and Acquisitions
Developing a New Product
Pricing Strategies
Growth Strategies
Launching a New Business
Competitive Response
Increasing Profit
Reducing Costs
Increasing Sales
Industry Analysis
Business Turnaround
When practicing cases, it is helpful to recognize what type of problem the prompt is addressing. As you become more familiar with each type of scenario, you will gain confidence in your strategy of problem-solving.
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