The Question,"How Attractive Is the Potential Demand for Company Products

question 42

Multiple Choice

The question,"How attractive is the potential demand for company products and services?" should be answered in stage ________ in the determination of market potential.

• A)one
• B)two
• C)three
• D)four
• E)five

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Definitions:

Midpoint Formula

In economics, it is often used to calculate the price elasticity of demand by comparing the percentage change in quantity demanded to the percentage change in price.

Price Elasticity

An index of how sensitive the amount of a product that is bought or sold is to variations in its cost.

Total Revenue

The overall amount of money generated by the sale of goods or services before any costs are subtracted.

Price Effect

The impact on consumer demand and producer behavior due to a change in the price of a good or service, holding other factors constant.