Erosion

Business, Legal & Accounting Glossary

Definition: Erosion


Erosion

Quick Summary of Erosion


When an innovation or technological breakthrough reduces the value of one or more of a company’s existing assets.




Examples of Erosion in a sentence


You should always be following the erosion in your factory and keep all of your important machinery as protected as you can.

Whenever Caterpillar comes out with a new piece of equipment that is easier to operate it causes an erosion with an older piece of equipment, this is what causes Caterpillar to stop producing certain equipment, they become outdated, unwanted, and hard to sell.

When the new curved televisions were introduced, the company noticed that there was a precipitous drop in the value of its standard flat-screen televisions and wondered how to retool the operation in order to gain a greater share of the marketplace after such a value erosion.


Cite Term


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Page URL
https://payrollheaven.com/define/erosion/
Modern Language Association (MLA):
Erosion. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
February 09, 2023 https://payrollheaven.com/define/erosion/.
Chicago Manual of Style (CMS):
Erosion. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/erosion/ (accessed: February 09, 2023).
American Psychological Association (APA):
Erosion. PayrollHeaven.com. Retrieved February 09, 2023
, from PayrollHeaven.com website: https://payrollheaven.com/define/erosion/

Definition Sources


Definitions for Erosion are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 30th October, 2021 | 0 Views.