Which of the following formulas is used to calculate a company's relative market share?
A)(Company's Market Share/Company's Potential Market Share)x 100
B)(Company's Total Sales/Total Sales of the Largest Competitor)x 100
C)Company's Targeted Sales - Company's Net Sales
D)(Company's Market Share/Total Share of Three Largest Competitors)x 100
E)Total Sales of the Largest Competitor - Company's Total Sales

Question

Quizplus · Accepted Answer

The formula used to calculate relative market share is (Company's Market Share/Total Share of Three Largest Competitors)x 100. This formula compares the company's market share to the total market share of the three largest competitors. This gives a more accurate picture of the company's position in the market compared to its competitors.

Which of the Following Formulas Is Used to Calculate a Company's