Commoditize

AAA

DEFINITION of 'Commoditize'

The act of making a process, good or service easy to obtain by making it as uniform, plentiful and affordable as possible. Something becomes commoditized when one offering is nearly indistinguishable from another. As a result of technological innovation, broad-based education and frequent iteration, goods and services become commoditized and, therefore, widely accessible.

INVESTOPEDIA EXPLAINS 'Commoditize'

In the past few decades, previously "modern" things such as microchips, personal computers – even the internet itself – have become essentially commoditized. Combinations of commoditized products such as computers and business software have in effect commoditized many processes, such as business accounting and supply chain management. In a truly capitalist society, the ability to commoditize anything is seen as a benefit to all, and opens up resources that can be put to better use on innovative enterprises.


RELATED TERMS
  1. Commerce

    The conduct of trade amongst economic agents. Generally, commerce ...
  2. Commodity

    1. A basic good used in commerce that is interchangeable with ...
  3. Creative Destruction

    A term coined by Joseph Schumpeter in his work entitled "Capitalism, ...
  4. New Economy

    A buzzword describing new, high-growth industries that are on ...
  5. Topple Rate

    The rate at which the group of leading companies, whether in ...
  6. Current Liquidity

    The total amount of cash and unaffiliated holdings compared to ...
Related Articles
  1. Commodity Prices And Currency Movements
    Forex Education

    Commodity Prices And Currency Movements

  2. Water: The Ultimate Commodity
    Mutual Funds & ETFs

    Water: The Ultimate Commodity

  3. 10 Tips For Choosing An Online Broker
    Options & Futures

    10 Tips For Choosing An Online Broker

  4. What is the difference between cash ...
    Fundamental Analysis

    What is the difference between cash ...

Hot Definitions
  1. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  2. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  3. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  4. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
  5. Accelerated Depreciation

    Any method of depreciation used for accounting or income tax purposes that allows greater deductions in the earlier years ...
  6. Call Risk

    The risk, faced by a holder of a callable bond, that a bond issuer will take advantage of the callable bond feature and redeem ...
Trading Center