The capacity of the market - is a key indicator for the formation of business strategy

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market capacity - it is likely the volume of services (sales of goods) for a fixed period of time at a steady price level.Or effective demand for them.As a general rule, a measure of the time in the calculation is one calendar year.The headline figure of this aspect is expressed in monetary terms (dollar, euro, ruble, yuan, and so on).In other cases the size of the market can be expressed directly in terms of the commodity.But the calculation strategies or prospects, and analysis of the current situation of financial institutions are not interested in how many units of products can be sold to the consumer, and what will be the revenue from sales.

calculation of market size by the following formula: E = K * D, where E - directly to the desired capacity, K - number of units (or mass) of goods, C - value.The capacity of the market - a factor which is formed by the present and projected demand, the elasticity of its volume, the availability of price level, to promote the possibility of productive goods, welfare, business and the general economic situation.This is a fairly generic position.Each individual market has its own version of the calculation capacity.But there are general provisions, such as seasonal price fluctuations.

capacity of the market - it is a necessary measure in the event that the company intends to increase its presence in the industry and to develop new areas of distribution of goods.In this factor has two levels: the real-life and potentially predictable.Estimated - a reflection of customer desires a particular product to get a new product or a new service to have.The current size of the market is not always the potential identities.The calculation is made taking into account the region's and geographic areas.To produce this analysis of secondary market sales indicators (surveys, statistical data, analytical reviews in the press).The calculation included the cost parameters and the behavior of consumers of specific products (single-volume purchases, the financial cost of goods, particularly in the choice of the categories of products, motivation and much more).

market capacity - a multiplication rate of consumption by one buyer on the total number of residents in a particular region.Or adjustment of the well-known figure in the same region with the help of the price factor, the average wage, population and other data.Obviously, in some time intervals may increase the capacity of the market, in others - to decline.Therefore, special units of the companies constantly monitor the current dynamics is analyzed the causes and create on the basis of the data revealed some scheme to help businesses stable balance.

Market Research, its modeling - the major direction in the strategy of the existence and development of each company.The more precise the data, the more stable the company can operate in the industry.Determination of market size, current information and current trends are extremely important to make the right management decisions.