Direct and Indirect Competition 2nd C 30092020

What is competition?

• The Rival Businesses

• Direct and Indirect Competitors

• Competitors influence supply and demand relationship

• All the answers above

• None of these answers

Choose the correct statement

• Direct competitors are Businesses in your market that sell a similar product or service/Similar line of products

• Direct competitors are Businesses in your market that sell a different product or service

• Direct competitors are Businesses that sell a different product or service than your business but that still fill the same costumer need or want.

If a person decides to make a product rather than buy it, purchasing ingredients or raw materials, being a less expensive option. What type of competition are we talking about?

• Indirect competition

• Direct competition

• Other forms of competition

Select the correct statement

• McDonlads and Burguer King are direct competitor while KFC and Las Papas de la Maria are also direct competitors.

• McDonlads and Burguer King are indirect competitor while KFC and Las Papas de la Maria are direct competitors.

• McDonlads and Burguer King are direct competitor while KFC and Las Papas de la Maria are indirect competitors.

Define Market Share

• Market share is the percentage sales of two or more businesses in a market

• Market share is when businesses are sharing costumers in a specific market

• Market share is the percentage of a target market population that is buying a particular product or service from your business.

Select the right Market Share formula

• Total Revenue ÷ Total Market size = Market Share Percentage

• Total Sales ÷ Total Market size = Market Share Percentage

• Total Sales * Total Market size = Market Share Percentage

Using the market share formula Total Sales ÷ Total Market size = Market Share Percentage solve the next exercise:

In its first year the X-Company sold $125,000 of printers and the total market sales that year were $1'960,000. Find the X-Company Market Share percentage.

• 0.063%

• 6.3%

• 63%

The Global Economy is the Flow of goods and services around the world

• True

• False

Scarcity forces countries to buy and services from other countries

• Yes

• No

Exporting and Importing are International Trade Terms?

• Yes

• No