consolidation

Examples of consolidation in the following topics:

• Antitrust Laws

  • The concept of antitrust largely revolves around governmental restrictions that limit incumbents in any given industry from consolidating too much power.
  • The worst case scenario of consolidation results in a monopoly, which is when one company or organization becomes the sole supplier of a given product or service.
  • Overseeing mergers, acquisitions, joint ventures and other strategic alliances to avoid consolidation that may be damaging to free markets.

• Resource Control

  • De Beers Consolidated Mines were founded in 1888 in South Africa as an amalgamation of a number of individual diamond mining operations.

• Regulation of Natural Monopoly

  • The consolidation of an industry into one sole supplier can represent a substantial threat to free markets and their consumers, as price can be easily manipulated through a thorough control of the supply.
  • As with most regulatory approaches, none of these are perfect solutions and consolidation within industries conducive to a natural monopoly will continue to arise.

• Unfair Competition Argument

  • Some of the larger ones attain enough global power and geographic diversification to be difficult to break up via domestic antitrust laws. demonstrates the substantial threat of deadweight losses being incurred in economies where consolidation results in a lack of competitive forces to drive down price.
  • This is addressed through international standards and trade agreements, standardizing governmental policy on a global level to reduce the risk of monopoly and unfair consolidation towards market dominance.

• Monopolies, Mergers, and Restructuring

  • The $81,380 million merger raised concerns among antitrust officials, even though the Federal Trade Commission (FTC) unanimously approved the consolidation.
  • Many companies dropped product lines they deemed unpromising, spun off subsidiaries or other units, and consolidated or closed numerous factories, warehouses, and retail outlets.
  • Thanks to the economy's prolonged vigor and all of the mergers and other consolidations that occurred in American business, the size of the average company increased between 1988 and 1996, going from 17,730 employees to 18,654 employees.

• Clearing the Market at Equilibrium Price and Quantity

  • Even in static markets there is competitive consolidation that allows companies to charge differing price points than that of the equilibrium.

• Introducing the Firm

  • While the advantages of consolidation for efficiency are potentially many and varied, the underlying concept is that integrating operational paradigms enables potential synergy via the construct of a firm.

• The Postwar Economy: 1945-1960

  • Business, meanwhile, entered a period marked by consolidation.

• Farming As Big Business

  • Just as an industrial enterprise might seek to boost profits by becoming bigger and more efficient, many American farms have gotten larger and larger and have consolidated their operations to become leaner as well.

• The Labor Movement's Early Years

  • Many laws and programs designed to enhance the lives of working people in America came during several decades beginning in the 1930s, when the American labor movement gained and consolidated its political influence.