ConceptCommoditization Trap
Commoditization Trap
An economics concept describing the phenomenon whereby a productive capability or service transitions from scarce to widely accessible, causing its market bargaining power and price to approach zero. This pattern commonly occurs during technology-driven phases of productivity democratization.
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Oct 6
In economics, the phenomenon in which production capacity shifts from scarce to ubiquitous and bargaining power approaches zero is called the Commoditization Trap.
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