Hacker Newsnew | past | comments | ask | show | jobs | submitlogin

That's not how revenue is determined. Revenue is determined by, well, revenue.

You can lose market share and increase revenue if the market is growing fast enough.

If you measure market share by units moved (as many markets are measured), you can raise prices and increase revenue despite lower unit sales and lost market share.



If the total sales of a market = 100 and Tesla has 20% share then it has 20 in revenue.

Basic math dude.

There’s such a thing as a top down vs bottom up approach.


You could technically guess it that way, in an incredibly simplified market if you didn’t have the actual number available to you. The car market isn’t incredibly simplified, and we do have the revenue number.

The numbers cited in the article are units sold. Tesla has 38% of 128k cars sold. Now tell me what the Tesla revenue was using your method?

See why serious people just look at what revenue was to determine what revenue was? It’s not a “bottom up” approach, it’s a “look at that reported and audited number and tell me what it is” approach.

Did you figure out what the revenue is yet, I'm super curious about how close the "top down" approach is going to be to reality. Don't forget that Tesla has revenue from non car products!


> If the total sales of a market = 100 and Tesla has 20% share then it has 20 in revenue.

Okay. And if the total sales of a market = 1000 and Tesla has 10% share then it has 100 in revenue. That's how percentages work.

Losing market share as a percentage is expected in a growing market as new players enter.




Guidelines | FAQ | Lists | API | Security | Legal | Apply to YC | Contact

Search: