Introduction
Staples's 15% drop in printer ink sales volume over the last quarter is a significant issue that requires careful analysis. I'll approach this problem systematically, examining both internal and external factors to identify the root cause and develop effective solutions.
This analysis follows a structured approach covering issue identification, hypothesis generation, validation, and solution development.
Step 1
Clarifying Questions (3 minutes)
Why it matters: Pricing changes can directly impact sales volume. Expected answer: No major pricing changes. Impact on approach: If pricing isn't the issue, we'll focus more on product availability or marketing efforts.
Why it matters: Competitor actions could be drawing customers away from Staples. Expected answer: Some increase in online retailer market share. Impact on approach: We'd need to investigate Staples's online presence and competitive pricing.
Why it matters: Product quality issues could be driving customers away. Expected answer: No significant changes in returns or complaints. Impact on approach: If quality isn't the issue, we'll focus more on distribution or marketing factors.
Why it matters: Ensures we're working with accurate data. Expected answer: No changes to data collection or reporting. Impact on approach: Confirms the issue is real and not a reporting error.
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