Question

What impact will a down economy have on Malibu? Do you think the company can once again gain market share during an economic downturn?

Answer 1

I think the company can once again gain market share during an economic downturn that free market capitalization is an economic system that can create enormous wealth and prosperity for nations and their peoples. It is also a system defined by competition that creates winners and losers. Although this competitive process can lead to innovation and innovation, it can worsen existing company market share, leading to bankruptcy in the worst case scenario.

What can a company do if its market share destroys its competitors? There are three main strategies that companies often use to regain market share after it is lost: price changes, advertising changes, and product changes. These three strategies have different benefits and all risk for different reasons.
Through discounts, the company hopes to attract customers from competitors. The advantage is the high market share, but it comes at a price: low margin per unit. This strategy is attractive to large companies with large economies that allow them to operate at a lower cost than their competitors or allow them to operate at a loss if necessary. This is risky because when the price goes down it can be difficult to reinstall it unless the company gets enough market share to outperform its competitors.

Everyone loves good sales, and attracting customers back at low prices can be a short-term strategy. But keep in mind that competitors will see this as a result of lower prices. This is good for consumers, but can lead to significant issues for producers.