What does market share mean

Updated on technology 2024-06-21
2 answers
  1. Anonymous users2024-02-12

    Market shareIt refers to the proportion of a company's sales volume (or sales) in the market of similar products.

    Market share is the share of an enterprise's products in the market, that is, the company's ability to control the market. The continuous expansion of the market share of enterprises can enable enterprises to obtain some form of monopoly, which can not only bring monopoly profits but also maintain a certain competitive advantage.

    There are 4 ways to measure market share according to different market segments:

    1. Overall market share. It refers to the proportion of an enterprise's sales volume (amount) in the entire industry.

    2. Target market.

    Tranche. Refers to the proportion of a company's sales volume (amount) in its target market, that is, the market it serves. The scope of a company's target market is less than or equal to the service market of the entire industry, so its target market share is always greater than its share of the overall market.

    3. Market share relative to the three largest competitors. Refers to the ratio of a company's sales volume to the total sales of the 3 largest competitors in the market.

    For example: an enterprise's market share is 30, and its three largest competitors are 20, 10, 10, then the relative market share of the enterprise is 30 40 75, such as 4 enterprises each account for 25, the relative market share of the enterprise is 33. In general, a company has a relative market share of more than 33, which indicates that it has some strength in this market.

    4. Market share relative to the largest competitor. Refers to the ratio of a company's sales volume to the sales volume of its largest competitor in the market. A price above 100 indicates that the company is the leader in this market.

  2. Anonymous users2024-02-11

    Market share generally refers to market share. It refers to the proportion of the sales volume (or sales) of a certain product (or category) of an enterprise in the market of similar products (or categories).

    Market share, which largely reflects the competitive position and profitability of the enterprise, is an indicator that the enterprise attaches great importance to. Market share has two characteristics: quantity and quality.

    The size of the market share is only the characteristic of the market share in terms of quantity, and it is the embodiment of the breadth of the market share. There is another qualitative feature of market share, which is the quality of market share, which is a reflection of the strength and disadvantage of market share. The number of market shares is also the size of the market share.

    The quality of market share refers to the gold content of market share and the sum of the benefits that market share can bring to the enterprise. In addition to cash income, this benefit also includes income from the appreciation of intangible assets.

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