On the face of it, having a strong market share might seem good. After all, increased market share means more people using the product, which in turn means more buzz and a healthier ecosystem. After all, seeing 1.5 million new Android devices being activated daily can’t be a bad thing, right?
Problem is, market share numbers ignore one vital factor – profit margins. And, as investor John Kirk reminds us in a piece over on Techpinions, there’s no point losing money on every sale and then trying to make it up in volume. All you’re doing is digging a deeper hole.