10+ McKinsey & Company Business Analyst Interview Questions and Answers

Cars would grow faster than motorbikes due to economic factors.

• Shift from lower middle to upper middle class favors cars

• Increasing growth rate for cars more than for bikes

The population is split into four economic classes: Low, Low and Upper Middle, and Upper Class.

• 30% of the population belongs to the Low economic class.

• 40% of the population belongs to the Low and Upper Middle economic class.

• 20% of the population belongs to the Upper Middle economic class.

• 10% of the population belongs to the Upper Class.

The demand for artificial knee implants in India is increasing rapidly.

• India has a large aging population, which is a major factor driving the demand for knee implants.

• The rise in obesity and sedentary lifestyle has also contributed to the increase in demand.

• Advancements in technology and medical procedures have made knee replacement surgeries more accessible and affordable.

• The Indian government has also taken initiatives to promote medical tourism, which has further boosted ...read more

It depends on various factors such as demand, competition, profitability, and operational feasibility.

• Analyze the demand for the current route and potential demand for other routes

• Evaluate the competition on the current route and other potential routes

• Assess the profitability of the current route and potential routes

• Consider the operational feasibility of shifting to another route

• Examples of potential routes could be Mango to London or Mango to Dubai

As a business analyst, I do not have a direct opinion on the nuclear deal, but I can analyze its potential impact on the market.

• The nuclear deal may affect the prices of oil and gas, which can impact various industries.

• It may also lead to changes in international trade and political relationships.

• As a business analyst, it is important to stay updated on such developments and analyze their potential impact on the market.

• For example, if the deal leads to an increase in oil pric...read more

Analyze the data to identify the root cause of the loss and develop a plan to address it.

• Analyze financial statements to identify areas of high expenses or low revenue

• Conduct market research to identify competitive pressures or changing customer needs

• Develop a plan to reduce expenses, increase revenue, or pivot the business model

• Consider seeking outside investment or partnerships to support the turnaround

• Monitor progress and adjust the plan as needed

Profit decrease reasons for company X

• Decrease in sales revenue

• Increase in production costs

• Economic downturn

• Competition

• Changes in consumer behavior

• Poor management decisions

• External factors such as natural disasters or political instability

The decision should be based on factors like transportation cost, availability of resources, and environmental impact.

• Consider transportation cost of raw materials and finished products

• Evaluate availability of resources like water and electricity

• Assess environmental impact of the processing unit

• Analyze market demand and competition

• Compare tax and regulatory policies of the mine and market locations

To enter India's rural market, the Vancouver based company's innovation cell needs to focus on understanding the local culture, building relationships with local stakeholders, and creating affordable and accessible products.

• Conduct market research to understand the needs and preferences of the rural population

• Build relationships with local stakeholders such as government officials, NGOs, and community leaders

• Create affordable and accessible products that cater to the specific...read more

Investing Rs.500 crore in power sector

• Conduct a feasibility study to identify potential areas for investment

• Determine the type of power generation to invest in (renewable or non-renewable)

• Consider the regulatory environment and government policies

• Assess the financial viability of the investment

• Develop a comprehensive business plan

• Collaborate with industry experts and stakeholders

• Allocate funds strategically to maximize returns

• Monitor and evaluate the investment regularly

The number of footballs that can fit into Wembley Stadium depends on various factors.

• The seating capacity of Wembley Stadium is approximately 90,000.

• The size of a standard football is about 22 cm in diameter.

• To calculate the number of footballs, we need to consider the available space and any obstructions.

• Assuming no obstructions, we can estimate the number of footballs by dividing the available space by the volume of a football.

Banks should roll out ATM's instead of outsourcing them.

• Rolling out ATM's gives banks more control over the technology and security.

• Outsourcing can lead to higher costs and potential security risks.

• Rolling out ATM's can also improve customer experience and convenience.

• Examples of successful bank-owned ATM networks include Chase and Bank of America.

Starting an airline requires extensive planning, research, and investment.

• Conduct market research to identify demand and competition

• Develop a business plan including financial projections

• Obtain necessary licenses and permits

• Acquire or lease aircrafts and hire staff

• Establish partnerships with suppliers and vendors

• Implement marketing and advertising strategies

• Ensure compliance with safety regulations and industry standards

Estimate vodka consumption in Bombay.

• Gather data on population demographics, alcohol consumption patterns, and sales data.

• Use statistical analysis to estimate consumption based on available data.

• Consider factors such as income levels, cultural attitudes towards alcohol, and availability of vodka.

• Compare estimates to similar cities or regions for context.

• Adjust estimates based on any unique factors specific to Bombay.

• Consider potential limitations of data sources and analysis ...read more

The tractor market size in India is estimated to be in the range of X to Y units.

• The size of the tractor market in India can be estimated based on factors such as population, agricultural land, and government policies.

• According to a report by Research and Markets, the Indian tractor market is expected to grow at a CAGR of 4.7% during 2020-2025.

• Major players in the Indian tractor market include Mahindra & Mahindra, TAFE, Escorts, and John Deere.

• The tractor market in India is p...read more