Why would anyone selling any product care about market share.
If you control the market with a winning product and slowly increase prices,you will then be profitable and continue to increase profitability. The key in any market is control first then profit.
Look at the retail giants, Cicuit city, and how they pulled market share away from Silo (Now Bankrupt) and how Best Buy has done the same in similar markets. Another great example is the Beta , VHS tape wars. He who controls the market wins regardless of the quality of the product. Sony, Sanyo, lost a lot of ground to JVC, Panasonic, not because of a poor product, (Beta is Better) but because they could not control the market. Panasonic licensed everyone and won.
SYQT now has the product and the benefit of being ahead of the competition. If they take away market share for a much needed product they could stay on top for years to come and become quite profitable. IOM now need's to catch up ..... Just my opinion... |
