What is the market potential for the Fisker Karma Sedan in Sanger Automotive's dealership area?

Market Potential for Fisker Karma Sedan in Sanger Automotive's Dealership Area

Sanger Automotive is looking to assess the potential market for the Fisker Karma Sedan in its dealership area. To determine this, we need to analyze the new passenger vehicle annual purchase rate and the households (HH) within Collier and Lee counties with an annual income exceeding $100,000.

The potential market for the Sanger dealership can be calculated by multiplying the new passenger vehicle annual purchase rate by the total number of households in Collier and Lee counties with an annual income exceeding $100,000.

Answer: potential market for Sanger dealership = new passenger vehicle annual purchase rate x HH of Collier & Lee with HH annual income exceeding $100,000

= 1.2% x (133,640 x 20.2% + 270,485 x 18.3%)

= 918 units

How many Fisker Karma Sedans must a Sanger dealership sell to break even in its first year?

Explanation:

I looked it up and used my own words