These questions should give you a good feel for what you have to concentrate on to ace these consulting interview instances. Is the Eastern European or Asia provider a sustainable firm that can have the power to deliver into the future? If Cali Cable sources solely from a new provider, their fortunes are tied. Because the COO needs to fulfill demand 98% of the time, the 400,000 ft of cable is the relevant footage on the x-axis of the price graph. With the Eastern European plant costing $8 per foot for 400,000 units, Cali Cable will save $800,000 per year ($2 times 400K feet). Their core business is installing cable infrastructure in residential neighborhoods in order that the houses have access to cable television.
