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market share

noun
the portion of a market controlled by a particular company or product.
( http://www.investopedia.com/terms/m/marketshare.asp )

Market Share
What is 'Market Share'

Market share represents the percentage of an industry or market's total sales that
is earned by a particular company over a specified time period. Market share is
calculated by taking the company's sales over the period and dividing it by the
total sales of the industry over the same period. This metric is used to give a
general idea of the size of a company in relation to its market and its competitors.

BREAKING DOWN 'Market Share'


A company's market share is its portion of total sales in relation to the market it
operates within. For example, if a company sells $100 million worth of tractors a
year domestically, and the total tractors sold in the United States is $200 million,
the company's US market share for tractors would be 50%.

The Importance of Market Share


Investors look at market share increases and decreases carefully, because they
can be a sign of the relative competitiveness of the company's products or
services. As the total market for a product or service grows, a company that is
maintaining its market share is growing revenues at the same rate as the total
market. A company that is growing its market share will be growing its revenues
faster than its competitors.
Market share increases can allow a company to achieve greater scale in its
operations and improve profitability. Companies are always looking to expand
their share of the market, in addition to trying to grow the size of the total market
by appealing to larger demographics, lowering prices, or using advertising.
The calculation for market share is usually done for specific countries, such as
Canada-only market share or US-only market share. Investors can obtain market

share data from various independent sources, such as trade groups and
regulatory bodies, and often from the company itself. However, some industries
are harder to measure with accuracy than others.

An Example of Market Share


All multinational companies measure success based on the market share of
specific markets. China has been an important market for companies, since it is
untapped and is growing. Apple, Inc., for example, uses its market share
numbers in China as a key performance indicator for the growth of its business.
However, the numbers were not good in the second quarter of 2016. Apple saw
iPhone sales in China dip to an 11% market share in May 2016. This decline in
market share stemmed from a 26% decrease in the company's revenue for the
first quarter of 2016, the first time it's seen a quarterly decline since 2003.
http://www.businessdictionary.com/definition/market-share.html
market share
Definition
A percentage of total sales volume in a market captured by a brand, product, or company

http://www.investopedia.com/ask/answers/033015/how-do-i-determine-particular-companys-marketshare.asp

How do I determine a
particular company's market
share?
By Steven Nickolas | March 30, 2015 11:00 AM EDT

A:
A company's market share is its sales measured as a percentage of an industry's
total revenues. Determine a company's market share by dividing its total sales or
revenues by the industry's total sales over a fiscal period. Use this measure to get
a general idea of the size of a company relative to the industry.
To calculate a company's market share, first determine a period you want to
examine. It can be a fiscal quarter, year or multiple years. Next, calculate the
company's total sales over that period. Then, find out the total sales of the
company's industry. Finally, divide the company's total revenue by its industry's
total sales.
For example, suppose you want to calculate a toy manufacturer's market share
over one fiscal year. The toy manufacturer had total revenues of $20 million, and
the toy manufacturing industry had total revenues of $200 million over one fiscal
year. To find the toy manufacturer's market share, divide $20 million by $200
million. The manufacturer's market share is 10%.
Market share can also be used to compare similar companies within the same
overall industry. For example, suppose another toy manufacturing business has
total revenues of $40 million. This toy manufacturer has a 20% market share of
the industry. This signals that this toy manufacturer out-competes the toy
manufacturer from the previous example.
It is also possible to use market share over multiple periods to see how well a
company fares against its competitors and whether the company is growing

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