Market Penetration in Order to Be Able Term Paper

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Market Penetration

In order to be able to calculate the market penetration in our case, we should first give a brief definition and description of the market penetration concept. Identified by some with the company's market share, the market penetration concept allows a company to determine "what percentage of all possible sales was represented by their actual sales"

It is calculated by " measuring all real sales of a given good for a given period and then comparing that total with the total of all sales of that specific good for the same period made by one's own company"

In our particular case, we will be calculating the market penetration as the ratio between the total number of customers on the market and the number of customers that have actually bought our company's products.

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As such,

Market Penetration = Number of customers that have bought the product/Total number of customers on the market

Market Penetration = (10,000/50,000)*100 = 20%

The market penetration….....

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