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A negative impact on one or more of a firm's existing assets.


1. The gradual loss of an asset's value. See also: Depreciation.

2. The wearing away of real estate caused by natural events. For example, a rising sea level may erode a beach front property. Erosion can reduce the property's value.


The slow wearing away by natural forces such as water and wind.

References in periodicals archive ?
Now the lake site, with about 100 square miles of exposed, barren lake bed that erodes easily in the region's frequent high winds, represents what Gillette calls "the greatest natural [dust] laboratory in the United States.
If the soil can erode, then the spiral whips up a dust devil.
And they know not to wait until a field starts to erode to till it and not to think that rain will solve the problem.
Contingents flow right to the bottom line of any firm, and elimination of such a significant component would erode many small to mid-sized firms' ability to continue to meet market demands and competition.