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Words used: Market Share (Business), Market Share describes the percentage of sales that one company makes in a particular Market or, Industry. Market share is calculated by taking the company's total sales over a period of time and dividing, it by the total sales of the industry for the same period., For example, Company XYZ sells $100, 000 worth of shampoo in 2020. The total value of all shampoo sold, is $1, 000, 000. So, in 2020, the Market for shampoo was worth $1 million and Company XYZ can say they, had 10% Market Share., In a growing market, a company can increase their Market Share by attracting more of the new, customers. It is more difficult to increase Market Share in a mature market because the Company must, encourage existing customers to switch loyalty from another company to theirs. To increase Market, Share, a company will normally use Marketing campaigns and/or expand the number of their stores or, distributors.
Created by: S. Maric
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