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MKT*2500*02.2025FA Chapters 1 to 5- Requires Respondus LockDown Browser

Single choice

Market share refers to the ratio of

Options
A.the profit of the firm to the total profits of all firms in the industry, including the firm itself.
B.sales revenue of the firm to the total sales revenue of all firms in the industry, including the firm itself.
C.sales revenue of the firm to the total sales revenue of all firms in the industry, excluding the firm itself.
D.the profit of the firm to the total profits of all firms in the industry, excluding the firm itself.
E.the profits of all firms in an industry to the profits of the firm.
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Step-by-Step Analysis
The question asks: Market share refers to the ratio of... Option 1: 'the profit of the firm to the total profits of all firms in the industry, including the firm itself.' This definition uses profits, not sales revenue, and profits are not the standard basis for market share in most analyses, so this is not correct. Option 2: 'sales revenue of the firm to the total sales revenue of all firms in the industry, including......Login to view full explanation

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