Explain one reason why a business that has the second largest market share would be keen to become market leader.

One reason why a business that has the second largest market share would be keen to become the market leader is due to the potential for increased profitability. Here's a step-by-step explanation:

1. Market Share: Market share refers to the percentage of an industry's sales that a particular business has. The business with the largest market share is considered the market leader.

2. Profitability: Generally, a larger market share translates to higher sales volumes. This can lead to increased profitability due to economies of scale, which occur when the cost per unit decreases as the volume of output increases.

3. Competitive Advantage: Being the market leader often comes with a perception of superiority, which can be a competitive advantage. Customers may be more likely to choose the market leader's products or services, believing they are the best available.

4. Investment: Investors are often more attracted to market leaders, which can lead to increased investment and further growth opportunities.

5. Influence: Market leaders often have more influence over market trends and can set standards that other companies in the industry must follow.

In conclusion, the desire to become a market leader is driven by the potential for increased profitability, competitive advantage, investment, and influence.