Market share analysis
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Market share analysis is an important part of market analysis and indicates how well a firm is doing in the marketplace compared to its competitors.
Givon, Mahajan, and Muller have researched spreadsheet and word processing software firms to give a clearer image of how to determine market share in the software industry. They propose six factors to help estimate the value of market share (1997):
- unit or dollar sales
- user base (since piracy and brand switching effect)
- market definition(scope of definitions)
- scope of denominator(which other brands included)
- time frame length
- product definition (brand, product line, or strategic business unit)
[edit] References
Givon, M. Mahajan, V. and Muller, E. (1997). "Assessing the Relationship between the User-Based Market Share and Unit Sales-Based Market Share for Pirated Software Brands in Competitive Markets". Technological forecasting and social change 55 (2): 131–144. doi:.
