Business Dictionary
Market Share
Definition
The portion of a market controlled by a particular company or product.
Deep Dive
Market share represents the portion of a total market controlled by a particular company or product, typically expressed as a percentage. It is calculated by dividing a company's total sales or revenue within a specific market by the total sales or revenue of the entire market over a defined period. This metric serves as a key indicator of a company's competitiveness and its standing within its industry.
Examples & Use Cases
- 1Apple holding 60% of the premium smartphone market share due to strong brand loyalty and ecosystem integration
- 2A new coffee shop aiming to capture 5% of the local city's coffee market within its first year by offering unique blends and a strong community focus
Related Terms
Market PenetrationCompetitive AnalysisRevenue Growth