Marketshare

Definition of Marketshare

The portion of a market controlled by a particular company or product.

Explanation of Marketshare

Market share refers to the percentage of total sales in a market that is attributed to a particular company or product over a specified period. It is a key indicator of a company’s competitiveness and position within the industry. Market share is calculated by dividing the company’s sales by the total sales of the market and multiplying by 100 to get a percentage. Increasing market share is often a primary goal for businesses, as it can lead to greater brand recognition, economies of scale, and increased profitability. Companies can grow their market share through various strategies, such as product innovation, competitive pricing, marketing campaigns, and expanding distribution channels. Analyzing market share helps businesses understand their performance relative to competitors, identify growth opportunities, and assess the effectiveness of their strategies. Maintaining or increasing market share requires continuous effort, market analysis, and adaptation to changing market conditions. By focusing on customer satisfaction and delivering value, businesses can strengthen their market position and achieve sustainable growth.

This dictionary entry was written by

Per-Gulbrand Peter Braathen

With a foundation in doctoral-level research, Per-Gulbrand Peter Braathen is a seasoned expert in the areas of marketing, branding and communication. His proficiency extends to marketing management, branding and communication strategy. Braathen's experience is underscored by his rich background from various industries, including entertainment. A distinguished alumnus of the USC Marshall School of Business, Braathen boasts a Master of Science in Marketing, complemented by a Graduate Certificate in the Business of Entertainment from the USC School of Cinematic Arts as well as two undergraduate Bachelor degrees from the esteemed University of Southern California.