Interviewer view · keep this screen to yourself

Will this cement merger face a hard review?

You run the case. Read the prompt, answer questions from the notes below, and share data only when the candidate asks for it or gets stuck. Score at the end.

Case timer

00:00

Target length:

1. Read the prompt aloud

Read it slowly, then pause. Let the candidate ask questions before they structure.

Using the table above: cement company A wants to buy rival B in one Indian state. Cement is heavy and costly to move far, so the relevant market is local. Company A expects INR 300 crore a year of synergies (savings from combining). Work out the HHI before and after, the change, and what that means for the deal.

The prompt refers to Exhibit 1. After reading it, say: "Open Exhibit 1 now."

2. Answers to clarifying questions

This case has no scripted clarifying answers. Answer from the prompt, and say "assume what you think is reasonable" if the prompt does not cover it.

3. A model structure

Compare the candidate's structure with this one. A different split can be just as good if it is clean and fits the problem.

Concentration before and after, then what it means for timing, remedies and the synergy case
- HHI before: sum of squared shares
- HHI after: Company A and Company B combined
- Key: Change in HHI: 2 x share of A x share of B
- So what: review depth, likely remedies, effect on value

Exhibit 1

The prompt uses this exhibit, so the candidate opens it right after you read the prompt ("Show exhibit 1" on their screen).

Cement market shares in one fictional Indian state, before and after a proposed merger of A and B(percent of tonnes sold)

Cement market shares in one fictional Indian state, before and after a proposed merger of A and B
Company	Share before	Share after
A (buyer)	30	50
B (target)	20	0
C	25	25
D	15	15
E	10	10

So-what

After the deal one firm holds half the market, and the next largest holds a quarter.

4. The working, step by step

Each step shows how a strong candidate works it out. Share a new fact from it only when the candidate asks or is stuck, and let them do the math: the result in the dark box is what they should reach.

Step 1: HHI before
What a strong candidate does: 30 squared + 20 squared + 25 squared + 15 squared + 10 squared.
HHI before: 30 × 30 + 20 × 20 + 25 × 25 + 15 × 15 + 10 × 10 = 2,250
Step 2: HHI after
What a strong candidate does: Company A and Company B become one firm with 50 percent.
HHI after: 50 × 50 + 25 × 25 + 15 × 15 + 10 × 10 = 3,450
Step 3: Change
What a strong candidate does: The quick formula: 2 x 30 x 20. It matches 3,450 minus 2,250.
Change in HHI: 2 × 30 × 20 = 1,200
Step 4: Synergies at risk
What a strong candidate does: If the authority demands that A sells plants covering a third of the overlap, assume a third of the synergies go with them (an assumption to test).
Synergies kept if a third is lost (INR crore a year): 300 × (1 - 1 ÷ 3) = 200

The recommendation to listen for

At the end, say: "The CEO walks in. What is your recommendation?"

Expect an in-depth review. The market is already highly concentrated (HHI 2,250) and the deal adds 1,200 points and creates a firm with half the market, far above the levels that most authorities treat as a warning sign. The value case should assume a longer timeline and a likely remedy, such as selling plants, which could cut synergies from INR 300 crore to about INR 200 crore a year. If the deal only works with all the synergies and a fast close, it is a weak deal.

Risks a strong answer names: The authority may block the deal outright, as the European Commission did with Siemens and Alstom; Customers (builders) may complain and slow the review.

Next steps: Define the local market by how far cement can travel at a sensible cost; Identify plants that could be sold with the least loss of synergy.

Score the candidate

Score each criterion from 1 to 5. A 2 or a 4 sits between the descriptions.

Structuring

1: No clear structure, or a memorized framework that does not fit the problem.
3: A sensible structure, but with some overlap, a gap, or no clear priority.
5: A structure built for this problem, with no overlap and no gaps, a stated hypothesis, and a clear first step.

Math

1: Frequent errors, no units, or needed heavy help to finish.
3: Right answers but slow or messy working, or one error caught late.
5: Accurate and clearly narrated, with units, a sense check, and what the number means.

Exhibit reading

1: Read the chart aloud without finding the number that matters.
3: Found the key number but gave only part of the so-what.
5: Pulled the right number quickly and said what it means for the case.

Synthesis

1: Summarized what was done, with no clear answer.
3: Gave an answer, but with weak reasons or no next step.
5: Answer first, then two or three reasons with numbers, the main risk, and next steps.

Communication

1: Hard to follow: long silences, no signposting.
3: Clear most of the time, with some rambling.
5: Calm and concise, signposted each step, and checked in with the interviewer.

Total

0 out of 25

Score all five criteria to see the band and the feedback template.