COMMODITIZATION AND STANDARDIZATION SHAPES MARKETS

Commoditization and standardization are two forces that are shaping markets today.

Commoditization refers to the process of turning a product or service into a commodity, which means that it becomes interchangeable with other similar products or services.

Standardization refers to the process of making a product or service conform to a set of standards, which means that it becomes more predictable and easier to use.

Commoditization and standardization are often seen as negative forces, as they can lead to price competition and reduced profit margins.

However, commoditization and standardization can also create opportunities for businesses, as they can lead to increased efficiency and lower costs.

To succeed in a commoditized and standardized market, businesses need to focus on differentiation and innovation.

Overall, commoditization and standardization are important trends that businesses need to be aware of in order to stay competitive.