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Thursday, 02.09.2012 |
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| The Myth of Market Share |
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Product Details
Notes
decent book
lots of example companies
market leader is often not the profit leader
based on return on invested capital for shareholders
size does not guarantee pricing power or higher profits
one possibility is customers pooling orders to create size
need to overcome internal resistance within the company
watch out for discounting, low branding, and bad mergers
market share focuses on competition, not the customer
dell controls cost, the sales channel, and corporate culture
networked and double-sided markets are exceptions
this is where customers get value from other customers
like a phone where it's good if your friends also have it
if you lose market share, your customers lose value too
choose profit leadership over market share |
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