What Is the Relationship Between Market Share and Financial Firm Performance?
Increasing market share is a central aim for many businesses. In this video, ALEXANDER EDELING and ALEXANDER HIMME ask whether the pursuit of market share should retain its primacy in the era of globalization and digitization. Employing a meta analysis and drawing on data collected in 89 individual empirical studies, the authors assert that marketing assets like customer relationship and brands have a much more significant impact on financial firm performance than market share. The research has direct implications not only for performance measurement systems but also for the design and allocation of marketing budgets.
DOI:
https://doi.org/10.21036/LTPUB10813Researcher
Alexander Edeling is a Postdoctoral Researcher in Marketing at the University of Cologne. He has recently been a visiting researcher at Boston University. Edeling’s main research interests include marketing performance management, digitization, pricing and sponsorship. His work has been published in journals such as Journal of Marketing and Journal of Marketing Research. In 2017, he was the winner of the Horizont Foundation Dissertation Award as well as the University of Mannheim’s Institute for Market-Oriented Management Dissertation Award. Alexander Himme is Associate Professor of Management Accounting at Kühne Logistics University, Germany. Having previously worked at the University of Cologne and at Vlerick Business School, Himme has also held visiting scholarships at Stanford and UCLA. His main research interests include Marketing Accountability, Performance Measurement Systems and Market Entry Strategies. Himme received the best paper award at the EIASM Interdisciplinary Workshop on Intangibles and Intellectual Capital in 2018.
Original Publication
When Does Market Share Matter? New Empirical Generalizations from a Meta-Analysis of the Market Share–Performance Relationship
Alexander Edeling
,Alexander Himme
Published in 2018