What is meant by market share?

Market share refers to the percentage of total sales in a market that is controlled by a particular brand or company. This metric is crucial for businesses as it provides insight into the competitive position of a brand within its industry. A higher market share indicates a stronger presence in the market, often resulting from effective marketing strategies, customer loyalty, and brand recognition.

Understanding market share helps companies evaluate their performance relative to competitors and identify trends within their industry. For example, if a company's market share is increasing, this might indicate successful marketing efforts or increased customer satisfaction. Conversely, a declining market share could signal the need for strategic changes.

The other options do not accurately depict market share. The total number of consumers in a market pertains more to market size rather than share. Total revenue generated by a company reflects its financial performance but does not measure its portion of the market sales. The growth rate of a company in the market is an indicator of its expansion but not a direct measure of its market share.