The-definition.com

Definition

Concentration

Concentration refers to the extent to which industry sales are dominated by only a few firms. In a highly concentrated industry the intensity of competition declines over time. High concentration serves as a barrier to entry into an industry because it enables the firms that hold large market shares to achieve significant economies of scale and thus, to lower their prices to stymie attempts of new firms to enter the market.

Webster Dictionary Meaning

1. Concentration
- The act or process of concentrating; the process of becoming concentrated, or the state of being concentrated; concentration.
- The act or process of reducing the volume of a liquid, as by evaporation.
- The act or process of removing the dress of ore and of reducing the valuable part to smaller compass, as by currents of air or water.
Share it:  Cite

More from this Section

  • Theory X
    Theory X is a negative view of people which assumes that employees dislike work, are lazy, ...
  • Horizontal boundaries
    Rules of communication, access, and protocol for dealing with different departments or ...
  • Upward communication
    Upward communication is communication that flows from employees to managers. It keeps ...
  • Cash cows
    Cash cows are businesses with a relatively high market share in low-growth markets or ...
  • Intuitive decision making
    Intuitive decision making refers making decisions on the basis of experience, feelings, ...