The revised HHI value if the top dozen firms decided to conduct a horizontal merger and offer a single “Top 12 Tablet” Product
Concept:
Herfindahl-Hirschman Index (HHI) is a commonly accepted measure of market concentration. It is calculated by squaring the market-share of each firm competing in a market, and then summing-up the resultant numbers. It can range from close to zero to 10,000.
The higher the concentration or the market share, the more the number is closer to 10,000. If there were thousands of firms competing with each other, then the market share of each firm would be closest to zero, implying
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