Chapter 2.3, Problem 73E

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7th Edition

Stefan Waner + 1 other

ISBN: 9781337274203

Textbook Problem

Your company's market share is undergoing steady growth. Explain why a logarithmic function is *not* appropriate for long-term future prediction of your market share.

To determine

The reason for the use of logarithms being not appropriate for the long term future market prediction of market share if company’s market share is undergoing steady growth.

Explanation

Long term market share prediction is very complex.

There are many phenomena which can affect the long term market share of the company.

For example, emerging of new companiesā can cause reduction of market share of the company.

There are many factor which can boost share of the company in long terms...

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