Editing Concentration ratio (section)

== Concentration levels ==
Concentration ratios range from 0%–100%. Concentration levels are explained as follows: <ref name="IBIS World">{{Cite web|title=IBIS World|url=https://www.ibisworld.com/about/glossary/|url-status=dead|archive-url=https://web.archive.org/web/20181208012128/https://www.ibisworld.com/about/glossary/|archive-date=8 December 2018|access-date=21 July 2017}}</ref>
{| class="wikitable"
!Concentration Level
!Concentration Ratio
!Explanation
|-
|Perfect competition
|<math> {n \over N}</math>
|Perfect competition exists where an industry's concentration ratio is ''CR''<sub>''n''</sub> = ''n''/''N'', where ''N'' is the number of firms in the industry. That is, all firms have an equal market share.
|-
|Low concentration
|<math> {n \over N}</math> – 40%
|A concentration ratio of close to 0% implies  [[perfect competition]] at the least. This is only possible in an industry where there is a very large number of firms.  
|-
|Medium concentration
|40% – 70%
|An industry in this range is likely an [[oligopoly]]. An oligopoly describes a market structure which is dominated by a small number of firms each with significant market shares.
|-
|High concentration
|70% – 100%
|This category ranges from an oligopoly to a [[monopoly]].
|}