Capital Budgeting for a Munich D2C Cosmetics Expansion
Overview
What this challenge is about.
Build a DCF model comparing two expansion strategies for a Munich D2C cosmetics brand and earn a verifiable certificate.
The scenario
GlowMünchen is a 3-year-old D2C skincare brand with €5M annual revenue, 20 employees, and a strong social media presence. It operates with a lean online model and has no physical retail experience.
The Brief
What you'll do, and what you'll demonstrate.
Should GlowBerlin pursue a gradual online-only expansion into France or a full-scale entry with a pop-up store, and under what conditions does each option create more value?
Earning criteria — what you'll demonstrate
- Apply time value of money concepts to evaluate investment alternatives
- Calculate NPV and IRR for real-world capital budgeting decisions
- Perform sensitivity analysis to assess risk and uncertainty
- Integrate qualitative factors into financial decision-making
Program Fit
Where this fits in your program.
Sharpens the same skills your degree expects you to demonstrate.
Aligned coursework coming soon.
Skills
Skills you'll demonstrate.
Each one shows up on your verified credential.
- Discounted Cash Flow
Apply discounted cash flow to solve real industry problems and demonstrate production-level capability.
- Net Present Value
Apply net present value to solve real industry problems and demonstrate production-level capability.
- Internal Rate Of Return
Apply internal rate of return to solve real industry problems and demonstrate production-level capability.
- Sensitivity Analysis
Apply sensitivity analysis to solve real industry problems and demonstrate production-level capability.
- Capital Budgeting
Apply capital budgeting to solve real industry problems and demonstrate production-level capability.
Careers
Career paths this challenge builds toward
Completing this challenge demonstrates skills that transfer directly to these roles: