The Sales Forecast Differs from the Company Sales Potential in That

question 156

Multiple Choice

The sales forecast differs from the company sales potential in that it focuses on

• A)the maximum percentage share of a market that an individual firm within an industry can expect to capture for a specific product.
• B)the minimum percentage share of a market that an individual firm within an industry can expect to capture for a specific product.
• C)what actual sales will be at a certain level of company marketing effort.
• D)what executives believe sales will be at a certain level of company marketing effort.
• E)what competitors' sales will be at a certain level of company marketing effort.

---

Definitions:

Marginal Revenue

The additional income that is gained from selling one more unit of a product or service.

Monopoly's Product

A unique product or service without close substitutes, offered by a monopolist who faces no competition.

Profit-Maximizing

Refers to strategies or decisions taken by a company to maximize its profits by increasing revenue, reducing costs, or both.

Charge a Price

The act of assigning a monetary value to a product or service that customers must pay to obtain it.