Market size, share, and growth calculations

• What is the market growth rate if the market size increases from £20M to £24M?

  20%
• What is the formula for calculating market share?

  (Company Sales / Total Market Sales) × 100
• What is Company E's market share if their sales are £3M and the total market size is £24M?

  12.5%
• How is market growth calculated in percentage terms?

  Percentage change in market size
• What does market share measure for a company?

  Market control
• What does a market growth rate of 20% indicate in terms of market size change?

  20% increase in market size
• What does "Market Size" refer to in marketing terms?

  Total sales volume
• What does the 'Average Purchase per Customer' represent in the Market Size formula?

  Amount spent by each customer
• What is an example of market growth provided in the study material?

  From £50 million to £60 million
• Order the steps to calculate market share and growth rate.

  1️⃣ Calculate total market size

  2️⃣ Determine individual company sales

  3️⃣ Calculate market share

  4️⃣ Compare market size over time

  5️⃣ Calculate growth rate
• What is the formula used to calculate Market Size?

  Market\:Size = Number\:of\:Customers \times Average\:Purchase\:per\:Customer</latex>
• What does market growth measure?

  Increase in market size
• What is the formula for calculating market growth rate in percentage terms?

  $\frac{Current Market Size - Previous Market Size}{Previous Market Size} \times 100$
• In the example provided, what is the market share of the company in the UK Smartphone Market?

  20%
• What does the 'Number of Customers' represent in the Market Size formula?

  Total potential customers
• What does "Units Sold" measure in the context of market size?

  Total number of products
• Match the key aspect of market share with its corresponding definition:

  Represents ↔️ Portion of total market sales

  Measures ↔️ Company's market control

  Influenced by ↔️ Sales and marketing efforts