Remember, the goal of this type of analysis is simply to know why a company is growing. In Anheuser-Busch’s case, you’d want to know how much growth is coming from price increases (more expensive beer), how much is coming from volume increases (more beer drinkers), and how much is coming from market share growth (more Budweiser drinkers). Once you’re able to segment a firm’s growth rate into its components, you’ll have a much better handle on where that growth is likely to come from in the future—and when it may tap out.
