Fair Trade Law Q&A - Market Definition and Market Share Calculation

Should imports be included in the calculation of market share?

Market share is calculated as the percentage of an enterprise's domestic sales volume, sales value, or other relevant variables during a specified period relative to the total sales volume, total sales value, or aggregate amount of such variables for all suppliers in the relevant market. Sales volume includes both domestical production and imported products. Accordingly, imports should be included in calculating market share. Article 4, Paragraph 1 of the Enforcement Rules of the Fair Trade Act provides: "Production, sales, inventory, and import/export value (volume) data for the enterprise and the relevant market shall be taken into account when calculating the market share of an enterprise."