Launch a new product domestically

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ABC Company is ready to launch a new product domestically. Historically, the company's products have been successful domestically 92% of the time. This new product has been sold overseas for the past 6 months as this has been the traditional market strategy (test a product overseas before bringing it to the domestic market). Historically, products which are successful domestically were successful in the international market 90% of the time. Conversely, products which fail domestically had already failed internationally 93% of the time. 

Determine the probability that this new product will be successful domestically if the product has not been successful overseas. Indicate your answer to four decimal places (i.e. 0.0001).

Reference no: EM131665694

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