If the line graph shows a plateau in sales for Product A after a period of growth, what could be a possible reason?
Practice Questions
1 question
Q1
If the line graph shows a plateau in sales for Product A after a period of growth, what could be a possible reason?
Increased competition
Market saturation
Seasonal fluctuations
All of the above
A plateau can result from various factors including increased competition and market saturation.
Questions & Step-by-step Solutions
1 item
Q
Q: If the line graph shows a plateau in sales for Product A after a period of growth, what could be a possible reason?
Solution: A plateau can result from various factors including increased competition and market saturation.
Steps: 5
Step 1: Understand what a plateau means. A plateau in sales means that sales have stopped increasing and are staying at the same level.
Step 2: Consider what happens after a period of growth. Sales were increasing, but now they have leveled off.
Step 3: Think about possible reasons for this change. One reason could be increased competition, meaning more companies are selling similar products.
Step 4: Another reason could be market saturation, which means that most potential customers already have the product and there are fewer new customers to sell to.
Step 5: Conclude that both increased competition and market saturation can lead to a plateau in sales.