UMD11: Price Premium Marketing Dashboard
-The UMD11: Price Premium Marketing Dashboard above shows the dollar and unit market shares for selected energy drinks.What is the price premium for Red Bull in 2010?
A)-12.5%
B)-7.5%
C)-5.3%
D)0%
E)15.2%

Question

UMD11: Price Premium Marketing Dashboard
-The UMD11: Price Premium Marketing Dashboard above shows the dollar and unit market shares for selected energy drinks.What is the price premium for Red Bull in 2010?
A)-12.5% 
B)-7.5% 
C)-5.3% 
D)0% 
E)15.2%

Quizplus · Accepted Answer

The price premium is calculated by comparing the dollar market share to the unit market share. If Red Bull's dollar market share is higher than its unit market share, it indicates a price premium. The given choice E) 15.2% suggests that Red Bull's dollar market share exceeds its unit market share by this percentage, indicating a price premium of 15.2% in 2010.