Pottery Barn Is a Retail Chain of Home Products

Multiple Choice

Pottery Barn is a retail chain of home products. Before entering a new geographic area, the company develops an index consisting of a ratio of local market potential in dollars (demand) to local market retailing space in square feet. If this ratio is below a predetermined level, the site is not considered further. However, if this ratio is greater than that level, further site-selection analyses are performed. This index is called _____.

A) index of retailers
B) index of retail utilization
C) index of retail sales
D) index of retail saturation