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IMarket Entry BCG Round 2 Case 28: Prompt Our client is a start-up with the ability to deliver broadband

internet to comme rcial airlines. How would you help them think about their offering?! Guidance About the case: This is a market entry case where candidate are required to eval uate the feasibility of a new product in conjunction with the airline industry. The candidate should use a comprehensive framework, walk the interviewer through it and be prepared for analytical detour s throughout the flow of the case. The calculations represented here are only one approach and interviewees may tak e other approaches, depending on the assumptions made. The interviewer should be mindful of this and allow for flexibility. Industry & Market Size Discussion: The interviewee should have mentioned this as a major bucket in his/her framework. Use the information below to provide guidance as necessary. Broadband for the airlines There is general interest in broadband internet from the airline industry. The s tart up would have to invest relatively little up front and would keep most of the revenues. They woul d charge the customers on a per flight pricing model. Size of the Market Ask the candidate to estimate the market size and hand over Exhibit 1. Inform th e candidate that there are 3,000 planes. Full answer in chart belo.! Pricing In order to finish the market size, the candidate should ask for the price per flight. Hand out Exhibit 2 and ask candidate to set the price. 131

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