Sometimes it can be surprising to see how you compare to others. But in business, comparisons go beyond standing in awe of your neighbor's huge house or your friends' impressive running speed. Knowing how you compare to others is more than just interesting, it's a necessity.

Your company's market share reveals the competitiveness of anyone in your industry in relation to your total market. But before you can calculate your market share (or get a market research tool to do it for you) you need to figure out what you want to measure and apply the right market share formula.

In this article, we'll explain how to calculate market share and use the data for effective market research, better positioning, and maximizing your profitability.