Marketing Expert Witness On Performance Part 4

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Marketing expert witness Don E. Smith, President, American Consulting Group, LLC, writes on THE LIMITATIONS OF USING SALES QUOTAS AS THE PRIMARY MEASURE OF PERFORMANCE

Market. Most difficult measure to define but information has major value. Compare to national average or similar distributors. Keep it simple. Page 3, table 4, Market and Share Index. Examples of how estimate market share.

1. Distributor market = (Market potential in total US) x (% of industrial buying power in distributor territory).
2. Distributor market = .65 x (% of US housing starts in distributor territory) + .35 % x (% of US existing housing in distributor territory).
3. Distributor market = $6 x (# of K-12 school teachers in distributor territory) + $9 x (# of professors in colleges in distributor territory).