Reliance on Major Customers and Product Market Competition: Mini Review and Discussion

The first part of this mini review provides a short summary of the article “Reliance on Major Customers and Product Market Competition”, published in Finance Research Letters in January 2021 (Volume 38). The results of the article shed light into the determinants of customer base structure by showing that suppliers increase their sales to major customers when customer industry becomes less competitive. The second part of the review discusses the consequences of the article’s findings by linking the main results to the increase in product market consolidation.