Hi there,

I actually have to agree with you here.

In terms of case instructions, don't overcomplicate - you need to take the total market (1005) divided by the number of players (6).

That said, this is a pretty silly/simplistic way to do things. If 1 player had 80% share, and the rest 4%, the average market share would be 16.7%.

Alternatively, if every player had equal share...well, you guessed it...the average market share would be 16.7%.

It's a nonsensical exercise that would not be used in a real consulting project.

Hey A,

The average market share of the industry here is the percentage of total sales in the industry by the clients' company (BlissOttica in this case). Arithmetically, to count the average MS, you need to take the sales of the company over a certain period and divide them by the sales of the industry over the same period.

As can be seen in the math logic, without knowing the proportion of the market share, it is impossible to calculate total market potential and, finally, the revenues.

If you are interested, where the numbers come from, check on the graphs with share per regions and age groups both for the company and for the industry in general.

If you have any other questions - feel free to reach out!

GB

Agree with you this is a strange term I haven't come across before. I presume this to mean the average player in the industry holds x% market share (i.e. like you said a simple arithmetic avg of all market shares).

I imagine the point of this is to demonstrate it is a fragmented market