1. Diapers

During the 1990s, an average of 4 million babies were born annually in a country. The average child goes through 7,800 diapers in the first 130 weeks of life (2.5 years) until toilet training, or 60 per week (Deveny, 1990).

(a) What is the annual market potential for disposable diapers? (1.5 marks)

(b) What other qualitative issues need consideration here? (1.5 marks)

1. Consumption of Ice cream

In 1999, the population of a country was 273,401,000. Of these 16 million suffer from diabetes (and hence cannot consume regular ice cream) and 30 million are lactose intolerant (and hence cannot eat ice-cream). On average, consumption per person is 46.6 pints per year. The average price per pint in 1999 was $3.19.

What is the market potential in (a) units and (b) dollars? ($ is used as a general unit of currency) (1.5 marks each)

1. PDA

(a) Estimate the market potential for PDAs in 2000. The total population in 2000 is 278.1 million. Children under 13 are 56.2 million, and those who live below the poverty level are 21.1 million. (1 mark)

(b) Are there are implicit assumptions in your estimate? (1 mark)

(c ) Is the potential static? (1 mark)