Shop-Mart, a rapidly growing online retail company, operates across four major regions—North America, Europe, Asia, and South America—and specializes in selling three primary product categories: Electronics, Apparel, and Books. During the financial year 2025, the company recorded a total revenue of ₹1,000,000, with North America contributing the largest share at 40%, followed by Europe with 30%, Asia with 20%, and South America accounting for the remaining 10%. Within each region, the distribution of revenue across product categories was consistent: Electronics generated 50% of the regional revenue, Apparel accounted for 30%, and Books contributed 20%. Notably, the revenue from Electronics in North America exceeded that of Europe by ₹50,000, highlighting the particularly strong demand for electronic products in the North American market. This distribution reflects the company’s strategic focus on high-demand product segments and its efforts to balance sales across diverse international markets.
If the Electronics revenue in Europe increases by 10% next year, what will be the continent's Electronics revenue in that year?
Solution
In 2025's total revenue of 1,000,000, share of
North America = 400000
Europe = 300000
Asia = 200000 and,
South America = 100000.
Each of this revenue is divided into the 3 products i.e. Electronics(50%), Apparel(30%) and Books(20%).
The table can be constructed as:
Electronics | Apparel | Books | Total | |
North America | 200000 | 120000 | 80000 | 400000 |
Europe | 150000 | 90000 | 60000 | 300000 |
Asia | 100000 | 60000 | 40000 | 200000 |
South America | 50000 | 30000 | 20000 | 100000 |
Total | 500000 | 300000 | 200000 | 1000000 |
In the next year, revenue from Electronics for Europe = 10% increase on 150000 = 165000.
