Your question is Optimal Credit Limit Strategy. Take a moment with it on the right.
Talk me through your thinking if you like. When you're confident, submit your answer and I'll grade it like a real screen (7/10 or better passes).
You're advising a card issuer that needs to set an initial credit line for newly acquired customers who have limited credit history. The decision affects activation, spend, customer experience, and loss rates, and there is little direct data on how these customers will behave once booked. Leadership wants a clear way to balance growth and risk when the customer file is thin.
How would you structure an analysis to determine the optimal credit limit for a newly acquired credit card customer with a limited credit history?