Now Its Your Turn. Show Us What You Have Learned.

Returning to our running case for Shannons Brewery, assume that Shannon is currently serving the Austin, TX market and wishes to expand distribution to a six-county area in North Texas: Dallas, Tarrant, Collin, Denton, Wise, and Cook. Before the final decision is made, Shannons needs to have some idea of the market potential for craft beer in the six-county DFW area and Shannons own sales potential.

According to the Craft Beer trade association, there are 117 craft brewers in Texas. Relevant population data for developing these estimates is contained in Table 1. The data show the total populations of each of the six counties, the proportion of the total Texas population in these counties and the numbers of individuals over 21 years of age.

Table 1. Population Data for Six-County Area of North Texas

	Total Population	% of Texas	21+
Denton	662,614	3.96%	410,827
Collin	782,491	4.68%	485,152
Wise	59,127	0.35%	36,659
Tarrant	1,809,000	10.82%	1,121,598
Dallas	2,368,000	14.17%	1,468,184
Cook	38,437	0.23%	23,831
	5,719,669	34.22%	3,546,253 Assume the average Texas adult (21+ years of age) consumes 3.8 gallons of craft beer per year. What is the market potential for the six-county area in gallons of beer sold? Round your answer to the nearest full gallon (no decimal places).

Assume the average Texas adult (21+ years of age) consumes 3.7 gallons of craft beer per year. Shannons market share in the Austin market has been steady at 0.02. What is Shannons sales potential for the six county area in gallons of beer? Round your answer to the nearest full gallon (no decimal places).