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A market concentration level of less than 1000 is typically seen as low, whilst one of more than 1500 is regarded as excessive. H = ∑ i = 1 N s i 2 {\displaystyle H=\sum _{i=1}^{N}s_{i}^{2}} Where s i {\displaystyle s_{i}} is the market share of firm i, conventionally expressed as a percentage, [ 6 ] and N is the number of firms in the ...
Penetration pricing is a marketing technique which is used to gain market share by selling a new product for a price that is significantly lower than its competitors. The company begins to raise the price of the product once it has achieved a large customer base and market share.
Market segmentation is the process of dividing mass markets into groups with similar needs and wants. [2] The rationale for market segmentation is that in order to achieve competitive advantage and superior performance, firms should: "(1) identify segments of industry demand, (2) target specific segments of demand, and (3) develop specific 'marketing mixes' for each targeted market segment ...
Low concentration – 40% A concentration ratio of close to 0% implies perfect competition at the least. This is only possible in an industry where there is a very large number of firms. Medium concentration 40% – 70% An industry in this range is likely an oligopoly. An oligopoly describes a market structure which is dominated by a small ...
The customer base is a group of customers who repeatedly purchase the goods or services of a business.These customers are a main source of revenue for a company. The customer base may be considered a business's target market, where customer behaviors are well understood through market research or past experience.
Almost half of Nvidia's $30 billion revenue in the second quarter came from four customers. A tech analyst said this concentration of revenue was "highly unusual" for a mega-cap company.
The rural SEC grid, which uses education and type of house (pucca, semi-pucca, and kaccha) as measures of socio-economic class, and segments rural India into 4 groups (R1, R2, R3, R4) This is based on the assumption that higher education leads to higher income thus higher consuming potential. But that this may not always be true.
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