Scenario: Chong's Analysis of International Markets
John Chong is an inexperienced entrepreneur in global business. He wants to sell his product, Zulu doll, a toy for kids below the age of eight, in every corner of the world. He wants to examine all potential markets but wants to keep his costs low. John has asked you to explain a few things about analyzing international markets.
-Which step of the market-screening process involves determining the income elasticity of the Zulu doll?

Question

Quizplus · Accepted Answer

Measuring market or site potential involves determining the demand for the product in the target market, including factors such as income elasticity, consumer behavior, and market size. Therefore, the step of the market-screening process that involves determining the income elasticity of the Zulu doll is measuring market or site potential.