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Medium Market Entry Product Mix Profitability Analysis

Mord Motor Co

#Automotive #Electric Vehicles
ProHub Comment

This case tests market sizing, financial analysis, and strategic decision-making under capital constraints. The candidate must balance quantitative breakeven analysis with qualitative market positioning to recommend which EV model to launch, while considering both risk and growth potential in a competitive emerging market.

Estimated Time 15 minutes
Difficulty Medium
Source NYU
50 / 100
Mord Motor Company, an international automotive company, has seen meteoric sales and market share growth over the last 10 years in the US. However, in recent years it has seen its profitability stagnate during the Covid-19 pandemic. However, the company is optimistic that it can capitalize on the tailwinds of permanent remote work policies and workers migrating out of urban areas and into suburbs where vehicles are more necessary. The CEO, Lenry Mord, has come to your consulting firm to figure out how to bring the company back on track.

Clarifying Information

  1. International mid-level automotive company with a market cap of $25B
  2. Competes across all vehicle segments - the industry is very fragmented, and Mord Motors has a comparable domestic market share
  3. Internal Combustion Engine Market is stagnating
  4. EV Market is growing at 10% CAGR with only a few major players
  5. Mord Motors currently has a couple promising EV models in development
  6. Mord Motor company owns its entire supply chain
  7. Mord Motor is headquartered in Detroit, US
  8. Mord Motors directly sells all their cars through its own dealerships