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Paper 2 · November 2018 · market share

The market share of a business enterprise is

Aits sales expressed as a proportion of total sales in the market.
Bthe proportion of its shares that are held by its own directors.
Cthe share of its profit that is distributed to its shareholders.
Dthe proportion of its total output that is sold to overseas customers.

Explanation

Market share compares a firm's sales with those of the whole market, so it shows performance against rivals rather than in isolation. A firm whose sales are rising can still be losing share if the market as a whole is growing faster, which is exactly the worry a toy maker with high sales but slow growth would have.

Derived from ZIMSEC Business Enterprise Skills Paper 2, Nov 2018, Q1

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