Question

The manager at a local recreational vehicle store, Off-Road Rage, believes the next two years will be difficult because of an economic recession. Using this forecast, he determines the effect on the industry's market potential and then estimates how his company's potential sales will look based on this outlook. This manager is using a ____ approach to estimating sales potential

Answer 1

The correct word for the blank space is: breakdown.

Step-by-step explanation:

The breakdown approach is a sales forecast study focused on economic factors that may help the business define its market potential. Using this estimate, businesses will evaluate the number of workers to be added to their sales force or whether they already have enough resources to fulfill their sales goals.

The method also assumes that each sales representative of the organization has the same skills, therefore, a fairly similar efficiency.

Answer 2

Answer: Breakdown approach

Step-by-step explanation:

The breakdown approach is very helpful in an organization as it is used for determining the organization sales potential.

It measured the potential of the company sales in the market based on the economics forecast.

According to the question, the manager using the breakdown approach for estimating the organization sale potential in the geographical area. This approach reduce the complexity of the manager at the time of selecting project.