Market share—Key to higher profitability? |
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Authors: | JK Newton |
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Institution: | Lecturer, Department of Operational Research, University of Lancaster, USA |
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Abstract: | Strategic decisions on market share policy have traditionally been made on a qualitative and subjective basis. In an effort to put strategic decision making on a more quantitative and objective level, studies have been made to identify a statistical relationship between market share and profitability. This paper discusses these modelling attempts and through specific market examples examines their validity. The author also suggests a more complex modelling approach to the issue that reflects the reality of the situation. |
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