Konzentrationsverhältnis

Konzentrationsverhältnis, often translated as concentration ratio, is a term used in various fields to describe the degree to which a particular attribute or substance is concentrated within a larger whole. In economics, it specifically refers to a measure of market concentration, indicating the extent to which a few firms dominate an industry. A high concentration ratio suggests an oligopolistic or monopolistic market structure, where a small number of companies hold a significant market share. Conversely, a low concentration ratio implies a more competitive market with many firms.

The most common concentration ratio is the N-firm concentration ratio, denoted as CR N, where N represents the number of firms included in the calculation. For example, CR4 is the sum of the market shares of the four largest firms in an industry. A CR4 of 80% means that the top four firms control 80% of the market. Analysts use these ratios to assess market power, barriers to entry, and the potential for anti-competitive behavior. However, concentration ratios are a simplified measure and do not capture the full complexity of market dynamics.

Beyond economics, the concept of concentration ratio can be applied in fields like chemistry to describe the ratio of a solute to a solvent, or in environmental science to quantify the distribution of pollutants. In these contexts, it generally signifies a proportion or a measure of relative abundance. The specific interpretation and calculation depend heavily on the domain in which the term is used.