What is industry structure?

Have you ever wondered why some industries, like software or biotech, seem to constantly churn out new innovations while others appear stuck in time? Why do a handful of companies dominate certain sectors, while others remain highly fragmented? The answer lies in understanding industry structure. Industry structure refers to the underlying characteristics and competitive dynamics of a particular industry. It looks at factors like the number and size of companies, barriers to entry, pace of change, and nature of competition. Analyzing industry structure allows you to understand the “rules of the game” and how value is created and captured. This framework empowers smarter strategies and better investment decisions. https://www.tactyqal.com/blog/what-is-industry-structure/