How to Get a Bigger Business Market Share for Your Industry

Increasing market share is the goal of every business. It is not the final step for these organizations. Commercial enterprises expect that an increase in market share will lead to an increase in revenue.

If a company that sells corned beef slowly starts to take customers from one of its competitors, they expect that those customers will continue buying corned beef at the same rate that they always did, so the earnings of the other company will now fall in their coffers.

Customers will only make the switch if they perceive that in some way, the newer company has a better product than the one that they previously did business with. If both are determined to be the same, there will be no basis for preference and things will remain unchanged.

This idea applies to both tangible products and people who are building their personal brands. Suppose two actors are going up for the same job. The one who consistently performs well every time they go to an audition will slowly build preference for their brand.

When opportunities arise, they will be cast in the roles that are available. They have built awareness of themselves by making sure they turn up at every audition possible. They did a good job and industry players started preferring them over others. That preference led to an increase in the number of jobs that they were able to get, that is, an increase in market share.

When they were able to get more jobs, or their market share increased, they were able to earn more money. In fact, as time goes by, if they continue to perform well, they will be able to command a higher rate per job than the average person. They have created preference and that has led to increased profitability for them.
Let’s consider two companies, they are real but I have adjusted the story a bit. Both of these companies sell coconut milk but in the past, one of the brands was more popular because they had positioned their brand as the authority on what made food great.

The newer brand took its time and made sure it appeared everywhere that its competitor was. It also made sure its product was consistently of a higher quality. As a result, people now prefer the newer brand of coconut milk and that company earns more revenue than its competitor.

How The Stock Market Works

Trading on a country’s stock market requires skill and discipline. Some traders have skill and execute a plan for trading; however they don’t have the discipline to stick to their plan, so they lose money.

The stock exchange consists of publicly traded companies. Not all companies which are publicly traded suit individual traders.

Before choosing which shares of a company to trade on the stock market, evaluate the company carefully. Make sure that it meets the criteria you set. These criteria are those that guarantee your success as a trader.

A stock market provides companies with a liquid environment for trading their securities. Strict regulations apply to the market. A body usually oversees the trading in shares that is done every work day in the stock market.

Image via Wikipedia

This regulatory body oversees trade in securities on the stock exchange. It also usually is responsible for licensing brokerage houses that trade on the exchange. Investment dealers and advisors are often licensed by this same organization in most countries.

Actual direct trading on the stock exchange can only be doe by registered stock brokers. Registered stock brokers trade bonds and shares on the market on behalf of their clients.

Image via Wikipedia

Members of the public who want to trade on the exchange but are not licensed as securities dealers usually have to open an account at a licensed brokerage firm. After opening an account with a minimum balance for trading, they can request that stocks be traded on their country’s exchange on their behalf.

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