Corporate Cannibalism

AAA

DEFINITION of 'Corporate Cannibalism'

An act of self-infringement upon market share by corporations through the issuance of new products.

Also known as "market cannibalization."

INVESTOPEDIA EXPLAINS 'Corporate Cannibalism'

Corporate cannibalism occurs when companies introduce new products into a market where these products are already established. In effect, the new products are competing against their own incumbent products.

VIDEO

Loading the player...
RELATED TERMS
  1. Graveyard Market

    A prolonged bear market where existing investors want to get ...
  2. Jekyll and Hyde

    1. A slang term referring to the strengths and weaknesses of ...
  3. Eat Your Own Dog Food

    A colloquialism that describes a company using its own products ...
  4. Zombies

    Companies that continue to operate even though they are insolvent ...
  5. Incumbent

    An individual that is responsible for a specific office within ...
  6. Market Cannibalization

    The negative impact of a company's new product on the sales performance ...
RELATED FAQS
  1. What is market cannibalization?

    Market cannibalism is defined as the negative impact a company's new product has on the sales performance of existing products. ... Read Full Answer >>
  2. What impact does disposable income have on the stock market?

    In theory, the impact that disposable income has on the stock market is that a widespread increase in disposable income leads ... Read Full Answer >>
  3. How can stock dividends provide protection against inflation?

    Stock dividends protect against inflation by providing tangible returns that supplement capital returns from rising stock ... Read Full Answer >>
  4. What types of risk should an investor consider before investing in the chemicals ...

    The chemicals sector is highly regulated and most businesses in the sector monitor supply chain risks very closely. Chemical ... Read Full Answer >>
  5. What types of industries are the main consumers of the products of the chemicals ...

    A variety of different industries use chemical products. Construction, automotive manufacturing and other industrial manufacturing ... Read Full Answer >>
  6. How is the basket of goods selected for the Consumer Price Index?

    In the United States, the inflation level in the economy is approximated by the Bureau of Labor Statistics via a basket of ... Read Full Answer >>
Related Articles
  1. Options & Futures

    Haunting Wall Street: The Halloween Terminology Of Investing

    Beware of zombies and Jekyll and Hyde companies! Read about the spooky terms circulating Wall Street.
  2. Stock Analysis

    How Altria Lights Up Portfolios

    A look at how the highly profitable brands of tobacco giant Altria just won't quit.
  3. Savings

    How to Invest in Liquor (and Avoiding the Hiccups)

    Investing in liquor has been profitable for ages but there could be some hiccups along the way.
  4. Economics

    What are Consumer Goods?

    Products that are purchased for consumption by the average consumer. Clothing, food, automobiles and jewelry are all examples of consumer goods
  5. Economics

    What are Consumer Packaged Goods?

    Consumer packaged goods, CPGs, are items that consumers use and purchase often.
  6. Mutual Funds & ETFs

    This ETF Can Weather Any Market Condition

    Looking for a winning ETF that's capable of performing in almost any environment?
  7. Home & Auto

    The Real Cost Of A Speeding Ticket

    Speeding can come at a cost that goes well beyond one driver and one ticket.
  8. Investing

    Wizards Of Odd: A Trip To Tech Land

    I spent a couple of days in Silicon Valley, and here are some key lessons I learned after meeting with a number of tech CEOs and venture capitalist.
  9. Stock Analysis

    How Boeing is More Than Just a Coach-Class Seat

    The number of market leaders that indisputably dominated their industry in 1916 and still do today is almost nonexistent — except for Boeing.
  10. Chart Advisor

    Why Now is the Time for Food and Beverage Stocks

    As volatility rears its ugly head, it's natural to investigate stable sectors such as food and beverages. Here's an appropriately-named ETF to consider.

You May Also Like

Hot Definitions
  1. Expected Return

    The amount one would anticipate receiving on an investment that has various known or expected rates of return. For example, ...
  2. Carrying Value

    An accounting measure of value, where the value of an asset or a company is based on the figures in the company's balance ...
  3. Capital Account

    A national account that shows the net change in asset ownership for a nation. The capital account is the net result of public ...
  4. Brand Equity

    The value premium that a company realizes from a product with a recognizable name as compared to its generic equivalent. ...
  5. Adverse Selection

    1. The tendency of those in dangerous jobs or high risk lifestyles to get life insurance. 2. A situation where sellers have ...
Trading Center