Strategy question
Do you think Google should buy the iRobot company? Why or why not?
- Strategy
- Hard
Practice this question out loud. An AI interviewer asks it, follows up like a real interviewer would, and scores your answer. Type or speak.
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What this question tests
M&A strategic reasoning covering strategic fit, cost, and alternative options, not just a gut yes or no.
How to approach it
- State the likely motive, expanding into smart home hardware and home mapping data to strengthen the smart home ecosystem.
- Assess the fit, a home robot maps home layouts, which could feed into a broader smart home data strategy.
- Weigh the cost and risk, hardware businesses have thin margins and require different operational skills than a core software business.
- Consider the alternative, partnering instead of a full acquisition, at lower cost and risk.
- Give a recommendation with a clear reason, referencing that a similar deal by a competitor faced antitrust scrutiny.
What a strong answer includes
- Names the real strategic asset, home mapping data, not just that the product is interesting, as the reason for interest.
- Weighs the concrete risk, thin hardware margins and a history of struggles running hardware businesses, against the potential data upside.
- Gives a clear recommendation, leaning toward a data or software partnership over a full acquisition given antitrust precedent and margin risk.
Common mistakes
- Answering yes or no with no reasoning about strategic fit or financial trade off.
- Ignoring the real world context of a prior antitrust blocked acquisition attempt in this space.
- No alternative option considered besides a straight acquisition.
Likely follow-up questions
- How would you value this company for the acquisition?
- What would you do if the deal faced the same antitrust scrutiny as the prior attempt?
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Learn the skill behind it
Chapters of the AI PM course that teach what this question tests.
- Chapter 4: Discovery and strategy for AI products
- Chapter 9: Prove it paid off: outcomes, economics, and pricing
- Chapter 14: Get the job: the AI PM interview loop