Question

The average household that shops at Retailer X spends $25 per year on a specific category. Which of the following statements is most correct based on this information?

A) Retailer X has a low market share in this category.
B) Retailer X is the market leader in this category.
C) Retailer X's pricing strategy is ineffective.
D) Retailer X's total annual revenue is $25.

Answer 1

The most correct statement is that Retailer X has a low market share in this category based on the average household spending of $25 per year on the specific category.

Step-by-step explanation:

The statement that is most correct based on the information given is A) Retailer X has a low market share in this category.

The reason for this is that the average household that shops at Retailer X spends only $25 per year on the specific category. This indicates that Retailer X is not the market leader in this category, as the average spending is relatively low. If Retailer X had a high market share, the average spending would be higher.

Therefore, option A is the most accurate statement based on the given information.