The Greenmax beverage company has built a successful business, having secured a small but consistent slice of the energy drink market. The company is preparing to go global with its brand and market its product overseas.
Greenmax's chief financial officer likes the idea of expanding into markets in the southern hemisphere because he argues that this will help the company generate a consistent year-round cash flow. Which of the following, if true, would strengthen the CFO's argument?
Energy drinks are popular in many different parts of the world.
Demand for energy drinks is much greater in developed countries than in emerging markets.
Greenmax has tapped about as much of the energy drink market share in Canada as it can get.
The energy drink market in the southern hemisphere is dominated by the biggest name brands.
Demand for energy drinks is heavily seasonal, with products selling much better at the hottest times of the year than others.
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