Commoditization: meaning, definitions and examples

Used in business and economics to describe the process by which a product or service becomes interchangeable with others of its kind, losing its unique attributes. Often has a slightly negative connotation, implying a loss of value.

• As technology advances, the commoditization of certain software tools is inevitable.
• The rapid commoditization of mobile phones has led to significant price drops.

Refers to the process of implementing and developing technical standards. Usually has positive connotations in contexts where consistency and compatibility are desired, such as manufacturing or technology.

• Standardization in the automotive industry ensures that parts can be easily replaced.
• The standardization of software APIs facilitates better integration.

Refers to making things uniform or similar. It can be used more broadly than commoditization, often in social, cultural, or biological contexts. It can carry a neutral tone but sometimes has negative connotations when referring to loss of diversity.

• The homogenization of global cuisine is evident in the prevalence of fast-food chains.
• Cultural homogenization can lead to the erosion of traditional practices.

Same as 'commoditization', but uses British spelling. Also related to business and economics, describing the process of making a product or service indistinguishable from others.

• The commoditisation of the agriculture sector has made it difficult for small farmers to compete.
• Commoditisation in the media industry has resulted in a lack of diverse content.