7
QuizMultiple Choice

Study Guide and Quiz

Question 7 • Introduction to Business A

Which of the following describes a saturated market?

Answer
A
The prices of competitors are very high.
B
Many people want this product and haven't purchased it yet.
C
Most potential buyers have not heard of the product and don't know it exists.
D
Most potential buyers already have a product that satisfies this need or want.

Explanation

A market is saturated when most potential customers already own a product that meets the same need or want. That leaves relatively few new buyers for the product, so D is correct. High competitor prices or customers who have not yet bought or heard of the product do not, by themselves, indicate saturation.

AI-written and checked against the verified answer.

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