🔍 Analysis tools

Sensitivity analysis

What happens to the answer if an assumption is wrong?

Change one key assumption at a time (price, volume, cost) and see how much the result moves.

It shows which assumptions really matter — and what to double-check before deciding.

🧮 Example

A new plant pays back in 3 years — or 5 years if demand is 20% lower. Demand is the critical assumption.

🎯 Interview tip

Mention it when recommending: “The decision holds unless demand falls more than 20%.”

Used in

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Net present value (NPV)

Future cash, translated into today's money.

Payback period

How long until an investment earns back what it cost.

Answer first (pyramid principle)

Lead with the recommendation, then the reasons.

The Case Flex weekly

One concept. One case breakdown. One practice prompt. Every week, in simple words.

An AI interviewer runs you through a case, pushes back, and scores your reasoning. Free to start.