Your research tells you that households earning $55,000 or more are most likely to be interested in a new shoe store. Households earning $25,000 or more are likely to visit coffee shops. would have a larger potential customer base. is geared toward individuals with more disposable income.
Star’s Coffee and Teas✔ The Shoe Hut
Your community has a total of approximately 100,000 households. What percentage of households would be potential customers for The Shoe Hut? What percentage of households would be potential customers for Star's Coffee and Teas?
✔ approximately 75% approximately 25%
✔ The Shoe HutStar’s Coffee and Teas
✔ excess supplyexcess demand
Based on the survey data, what can be concluded about the market for coffee shops in the area? According to the survey data, which business likely has the least supply in this town?
✔ shoe storescoffee shops
The Shoe Hut will require about for the first month of business. Star's Coffee and Teas will require for inventory and equipment alone. has a lower barrier to entry.
$2,500✔ $10,000 $12,500
✔ The Shoe Hut Star’s Coffee and Teas
will require a less costly investment in labor. will require less capital in the long term. will probably require upgraded equipment and greater capital over the next five years.
✔ The Shoe HutStar's Coffee and Teas
The Shoe Hut✔ Star's Coffee and Teas
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