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Barrier to Entry |
Also found in: Wikipedia, Hutchinson | 0.03 sec. |
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Barrier to Entry A high cost or other difficulty that prevents or makes it difficult for new businesses to enter an industry. For instance, high regulation or customer loyalty may be barriers to entry for a new company. Barriers to entry provide a distinct advantage for companies already operating; these companies have high profit margins and few competitors. Examples of industries with barriers to entry are the telecommunications and energy industries, because of the high cost of infrastructure necessary to begin operations. See also: Barriers to exit. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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0% is expected in 2006, primarily fueled by a strong growth in average rate, caused by an overall improved economic climate, strong barriers to entry, limited new supply, and increased compression. And there are almost no barriers to entry, making it easy to spread information quickly. Many are completely new competitors in a supposedly mature industry thought to have insurmountably high barriers to entry. |
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