TABLE 4-5 -Refer to Table 4-5. at $10, What Is Occurring in What

question 126

Multiple Choice

TABLE 4-5

-Refer to Table 4-5. At $10, what is occurring in the market for compact discs?

• A) There is a surplus of 7 500 000 compact discs.
• B) There is a surplus of 10 500 000 compact discs.
• C) There is a shortage of 10 500 000 compact discs.
• D) There is a shortage of 7 500 000 compact discs.

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Definitions:

Low Market Shares

A situation in which a company or product holds a small percentage of the total sales in its relevant market.

Low-Growth Markets

Markets characterized by minimal increases in consumer demand or market size over time.

Stars

High-growth, high-market-share products or business units in the Boston Consulting Group matrix, indicating they have potential to generate significant revenue.

Growth

An increase in some quantity over time, such as economic growth which refers to an increase in the market value of goods and services produced by an economy.