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Your client is Electra Motors, an EV manufacturer producing three product lines: SUVs, Sedans, and Trucks. Over the last five years, the company has experienced steady revenue growth across all lines, but leadership is unsure which segment is growing the fastest. They’ve asked you to review a revenue growth chart showing annual revenue by segment.
Which segment had the highest percentage growth from 2019 to 2023, and roughly what was that percentage increase? Based on your findings, what strategic next steps should Electra Motors take?
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Your answer:
📋 Solution:
Step 1 — Identify the winner by inspection: Trucks is obviously the fastest-growing line; no need to compute SUVs or Sedans.
Step 2 — Calculate trucks’ % growth (rough mental math):
Start ≈ $1.4B → End ≈ $4.0B
Increase = $4.0B − $1.4B = $2.6B
Percent growth = Increase ÷ Start = 2.6 ÷ 1.4
Quick ratio: 2.6/1.4 = 26/14 = 13/7 ≈ 1.86 → ~186%
(Another check: 100% would reach $2.8B; remaining $1.2B on a $1.4B base ≈ ~86% → 100% + 86% = ~186%.)
Answer: Trucks grew the most, by about 185–190% (≈186%).
As a brief implication, the client should likely prioritize trucks (capacity, supply chain, pricing), keep SUVs steady, and reassess sedans’ role.
