One handbag: own store or department store?
New to this industry?Start with its one-minute summary: Luxury and fashion
The prompt
An illustrative luxury handbag sells for EUR 2,000 (before sales tax) and costs EUR 500 to make. In the brand's own store, store costs (rent, staff, energy) are 30 percent of sales. Through wholesale, the brand sells to a department store at 45 percent of the retail price and spends 5 percent of its wholesale price on selling costs. What does the brand earn per bag in each channel?
Practice with a partner
1. Send the interviewer link to a friend. They read the case aloud and hold the answers.
2. You open the candidate view: you see only the prompt, a timer and a notes box.
3. Speak the case out loud. Your partner shares data when you ask, then scores you with the rubric.
Interviewer view
For the person running the case
Candidate view
For the person answering the case
Clarifying questions, with the interviewer's answers
My notes on this case
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