Question

What would be the revised HHI value if the top dozen firms decided to conduct a horizontal merger and offer a single "Top 12 Tablet" product?

Short answer

The leading firms in this area are Strategy&, Kearney, LEK, Oliver Wyman, and Roland Berger. Accenture, Booz Allen, Deloitte, KPMG, EY-Parthenon, and PwC are among the accounting, financial, and technology businesses.

Step-by-step solution

Step 1:Introduction.

DEBUT OF THE 'Herfindahl-Hirschman Index - HHI'. The closer a market gets near a monopoly, the more concentrated it is (and the lower its competition). According to the Herfindahl-Hirschman Index, if an industry only had one company, that company would have a monopoly (HHI).

Step 2:Top dozen firms 

The leading firms in this area are Strategy&, Kearney, LEK, Oliver Wyman, and Roland Berger. Accenture, Booz Allen, Deloitte, KPMG, EY-Parthenon, and PwC are among the accounting, financial, and technology businesses.