Technology Can Help Counter the Forces of Economic Concentration

Market concentration can be defined as small forms or business having a huge percentage of the total market. Market concentration is measured through market share. It can either be in terms of a number of employees, services provided, sales and employment statistics.

Concentration comes in when small firms have the big say in the market. This means that top forms no longer have an influence in the market. For instance, new players like Betway are coming in with https://th.betway88.com/ that aims to change how we bet online.

The digital market is making an impact. Globally the health of the economy is something very crucial and concern is growing.

A Look at How Technology can Help People Live Better

Here is the thing – the top 10% of the world’s population hold more wealth than the other 90% combined. While economic disparity has been persisting over the centuries, people can look forward to more income equal societies in the near future – all thanks to technology.

As competition is continuing to grow, most communities are feeling left out. The growth and opportunities that are out there are not balanced and equal to all businesses. These can be attributed to the following factors:-

• Increased income and wealth.
• The increased cost of living especially for the middle class.
• Lack of economic stability.

The digital economy was introduced to broaden the scope of the market.This means that not only the big companies had a say in the market, but the platform provides opportunities for all. For instance, eBay provides a platform where small business can be able to reach their target audience. Using all the relevant and eBay helps small business overcome the challenges faced in the market.

Competition is intense and growing. Companies which had no say, toppled over some great companies. For instance, Facebook toppled MySpace and became the social media giant.

However, as these companies rely on competition to rise it will be the same thing that will be their ruin. But this can all be attributed to the fact that economists are failing to provide the proper tools for competition.

Economic growth can only take place if people and businesses enjoy equal opportunities. Therefore in an economy which is highly concentrated then high chances are there will be no economic growth.

A company like eBay has taken upon itself to ensure that the economy is balanced. For instance, the top two small businesses in eBay increased revenue by 21.2% and 24.7%. In the real world, the top two Small businesses had a growth of 6% and 4.8%.

This means that eBay is making an effort to balance opportunities for all businesses.

The use of technology can have a huge impact on the market. Reversing the economic concentration will take a lot of effort. Economists should be willing to provide the right tools. Instead of putting blame on the global economy and rise of technology.

In the long run, the results should be worthwhile in building a balanced economy.

This article does not necessarily reflect the opinions of the editors or management of EconoTimes