Question

The minimum population required for a commodity to be sold in the market.
a) 0-50
b) 50 -100
c) 100-200
d) 200-300

Answer 1

The minimum population required for a commodity to be sold in the market is Option D i.e. 200-300.

To better understand the concept, follow the steps:

1) Understand your market potential
2) Starting point for estimating market size
3) Estimate your market size
4) Define your target customers
5) Estimate the number of target customers
6) Determine your penetration rate
7) Apply the market-size data

A commodity market is a market that trades in primary economic sector rather than manufactured products. Soft commodities are agricultural products such as wheat, coffee, cocoa, fruit and sugar. Hard commodities are mined, such as gold and oil.