Market Share-Size Matrix

The Market Share-Size Matrix is a tool used to analyze the market share of a company relative to its competitors and the size of the market. It helps to identify opportunities and threats in the market.

At a very high level, the Market Share-Size Matrix is used in the context of business, marketing, finance.

Market Share-Size Matrix quadrant descriptions, including examples
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What is the Market Share-Size Matrix?

A visual explanation is shown in the image above. The Market Share-Size Matrix can be described as a matrix with the following quadrants:

  1. Star: High market share and large market size (e.g. Apple in the smartphone market)
  2. Cash Cow: High market share and small market size (e.g. Coca-Cola in the soft drink market)
  3. Question Mark: Low market share and large market size (e.g. Microsoft in the smartphone market)
  4. Dog: Low market share and small market size (e.g. Pepsi in the soft drink market)

What is the purpose of the Market Share-Size Matrix?

The Market Share-Size Matrix is a tool used to analyze the market share of a company relative to its competitors and the size of the market. It helps to identify opportunities and threats in the market. The matrix is divided into four quadrants, each representing a different combination of market share and market size.

The top-left quadrant is the 'Star' quadrant. This quadrant is for companies with high market share and a large market size. These companies have the potential to generate high profits and have a competitive advantage.

The top-right quadrant is the 'Cash Cow' quadrant. This quadrant is for companies with high market share and a small market size. These companies have a steady income and are able to generate a high return on investment.

The bottom-left quadrant is the 'Question Mark' quadrant. This quadrant is for companies with low market share and a large market size. These companies have the potential to become stars, but they require a lot of investment to do so.

The bottom-right quadrant is the 'Dog' quadrant. This quadrant is for companies with low market share and a small market size. These companies are not generating much profit and are not worth investing in.


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What templates are related to Market Share-Size Matrix?

The following templates can also be categorized as business, marketing, finance and are therefore related to Market Share-Size Matrix: Effort Impact Matrix, Gap Analysis Matrix, Growth Share Matrix, Kraljic Matrix, Outsourcing Matrix, Quadrant Analysis, Risk Analysis Matrix, Risk Value Matrix. You can browse them using the menu above.

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