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1. A means of production in which different parts of the supply chain are located in different countries. Fragmentation occurs to reduce costs of production. For example, the least expensive materials may be in India and the cheapest factory workers in China, while the target retail customer is in the United States or Canada. Fragmentation can occur most easily when there is free trade, or at least low tariffs between all the countries on the supply chain. See also: Globalization.

2. A situation in a decentralized market. This often renders investors unaware of the best price available for their trades, resulting in inefficiency in the market. Fragmentation has become less of a problem with the advent of electronic exchanges and other, similar products.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved


The lack of full interconnection of the various securities markets. Fragmentation can result in customer orders being sent to markets that do not offer the best available price. Critics claim the inefficiencies of fragmentation can be cured with a central order book that includes orders from all markets.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.
References in periodicals archive ?
In conclusion, it can be concluded that the sperm aneuploidy and sperm DNA fragmentation are important parameters and they may be suitable for clinical practice.
The way this is quantified is from the stiffness ratio and with proper design the stiffness ratio will be optimized to give proper breakage mechanisms to ensure proper fragmentation sizing is achieved.
The combination of various parameters such as Greenfield, RTS, and fragmentation reduces WLAN delay as well as media access delay as shown in Figures 30 and 31, respectively.
The linear regression coefficients were all less than that of the cutting head without high-pressure waterjet assistance (0.94, 0.99, and 0.94 in Figure 6), indicating that the rock fragmentation mechanism of the cutting head I might be changed.
The disappearance and fragmentation of forest areas within the Yucatan Peninsula continues, principally in the Southwest and Southeast regions (Turner II et al., 2004).
Increasing population entails fall in the landholding size and fragmentation into small parcels [6, 50].
Grade 2 elastic fragmentation was noticed from 20 years up to 50 years.
For example, Oracle use the terminology of data fragmentation to present the data stored in discontinued area of memory.
That $10 billion in assets designation created a fragmentation of consumer financial protection laws, such as in the case of the NCUA, which is the prudential regulator for consumer protection for institutions with less than $10 billion in assets.
It is also possible to observe a different reflection of this fragmentation in institutions as well.
Key Trend 5, The Great Fragmentation, explains how high volume opportunities are scarce and becoming scarcer.
Such forms of jurisdictional fragmentation were carried outwards as Europeans established colonies in the Americas, Asia, Africa, and the Pacific.