Interviewer view · keep this screen to yourself
India's electric two-wheeler industry, for a battery maker
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
1. Read the prompt aloud
Read it slowly, then pause. Let the candidate ask questions before they structure.
A European battery maker is thinking of supplying India's electric two-wheeler (scooter and motorbike) industry and asks for your view of it. The interviewer gives these illustrative figures: about 18 million two-wheelers are sold in India each year, 6 percent of them electric, at an average electric price of INR 110,000. The electric share is expected to reach 15 percent in five years, with total two-wheeler sales flat. The share table above shows how the players are doing.
Format note: Interviewer-led: the interviewer gives the figures and the share table, then asks for the market size, the client's slice, and your view of who is winning.
2. Answers to clarifying questions
Give these answers only if the candidate asks. If they ask something not listed, give a sensible answer or say it does not matter here.
If asked: What decision does the client face?
Answer: Whether to build a battery-pack plant in India to supply two-wheeler makers.
If asked: How large is the battery in the vehicle's cost?
Answer: Assume about 40 percent of the selling price.
3. The hypothesis a strong candidate states
Listen for an early, testable guess like this one. It does not need to match word for word.
Electric two-wheelers are growing fast from a small base. My hypothesis is that the market is attractive for a battery supplier, and the key question is which makers will win, because a supplier's success follows its customers.
4. 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.
- Size, growth, players, and the so-what for the client
- Market size today and in five years
- Battery spend (the client's share of the value chain)
- Key: Who is winning, and why
5. 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: Electric units today
What a strong candidate does: 6 percent of 18 million.
Electric units a year: 18,000,000 × 0.06 = 1,080,000
Step 2: Market value today
What a strong candidate does: Units times the average price: about INR 119 billion.
Market value (INR a year): 1,080,000 × 110,000 = 118,800,000,000
Step 3: The same in crore
What a strong candidate does: Indian business figures are often in crore (1 crore is 10 million).
Market value (INR crore a year): 118,800,000,000 ÷ 10,000,000 = 11,880
Step 4: Battery spend today
What a strong candidate does: About 40 percent of the price is the battery, the part of the value chain the client would supply.
Battery spend (INR a year): 1,080,000 × 110,000 × 0.4 = 47,520,000,000
Step 5: Units in five years
What a strong candidate does: 15 percent of a flat 18 million.
Electric units in 5 years: 18,000,000 × 0.15 = 2,700,000
Step 6: Growth multiple
What a strong candidate does: Units grow 2.5 times in five years, about 20 percent a year (1.2 multiplied five times is about 2.5).
Growth multiple: 2,700,000 ÷ 1,080,000 = 2.5
Step 7: Read the share table
What a strong candidate does: Established makers rose from 35 to 50 percent in two years while start-ups fell from 60 to 45 percent.
Share gained by established makers (points): 50 - 35 = 15
The recommendation to listen for
At the end, say: "The CEO walks in. What is your recommendation?"
The industry is attractive for a battery supplier, and the client should aim at the established two-wheeler makers. First, it is about 1.1 million electric units a year worth about INR 119 billion, of which batteries are about INR 47.5 billion. Second, units are expected to grow about 2.5 times in five years, roughly 20 percent a year. Third, established makers are taking share from start-ups, 15 points in two years, most likely because buyers value dealer and service networks, so they are becoming the winners; expect them to demand low prices and local production. Next, interview the purchasing heads of the top three established makers.
Risks a strong answer names: The 15 percent electric share depends on battery costs and government support, which can change; Established makers may build their own battery packs.
Next steps: Interview purchasing heads at the three largest established makers; Compare local battery costs with imported packs.
Strong versus weak
A strong answer
Sized the market and the client's slice of it, read the share trend, and turned it into a clear view on which customers to target.
A weak answer
Listed facts about every player, subsidies, and technologies with no size, no trend, and no point of view.
Score the candidate
Score each criterion from 1 to 5. A 2 or a 4 sits between the descriptions.
This case has no exhibit. Score Exhibit reading on how the candidate used the data you gave them: did they pick out the number that matters and say what it means?
Total
0 out of 25
Score all five criteria to see the band and the feedback template.