Question

If the sales of all new bicycles in the U.S. in 2018 was $2,500,000,000 (at retail) and Trek, had sales of $480,000,000 (at retail), what is Trek's market-share of the U.S. bicycle market in 2018 ?

a. 24.00%
b. 25.00%
c. 19.20%
d. 48.00%
e. 30.00%

Answer 1

Trek's market-share of the U.S. bicycle market in 2018 is calculated by dividing Trek's sales by the total market sales and then converting to a percentage. The result is 19.20%, meaning that option c. 19.20% is the correct answer.

Step-by-step explanation:

To calculate Trek's market-share of the U.S. bicycle market in 2018, you would divide Trek's sales by the total sales of all new bicycles in the U.S. and then multiply the result by 100 to get the percentage. This is represented by the formula:

Market Share (%) = (Company's Sales / Total Market Sales) × 100

Using the provided figures:

Market Share (%) = ($480,000,000 / $2,500,000,000) × 100

Market Share (%) = 0.192 × 100

Market Share (%) = 19.20%

Therefore, Trek's market-share of the U.S. bicycle market in 2018 is 19.20%.