Western Governors University (WGU) BUS3130 D099 Sales Management Practice Exam

Sales potential is defined as the total sales achievable by all buyers for a firm, making this the correct choice. This concept encompasses the maximum capacity for sales in a given market, taking into account factors such as customer demand, the firm’s production capabilities, and overall market conditions. Understanding the sales potential helps firms identify opportunities for growth and strategize accordingly to maximize their performance.

In contrast, the other options provide narrower definitions. The overall market sales for a single product captures only the sales for a particular item, ignoring the broader scope of all sales achievable for the firm as a whole. Average revenue from sales over several years reflects past performance, which is not directly correlated to future sales potential. Lastly, the market share achieved by multiple firms pertains to the division of sales among competitors, rather than focusing on the total possible sales that could be realized by any single organization within that market. Each of these definitions highlights different aspects of sales but does not encompass the full scope of sales potential as defined in the context of the question.