Shakeout

A period in a market when competitors are squeezed out, or bought, by other competitors.

Example 1:

In 1985, cut-throat pricing drove most US companies out of the 64k RAM market; only Micron Technology and Texas Instruments remained.
(Year 1985-SIC 3674)

Explanation: Except for Micron and Texas Instruments, the U.S. manufacturers were Shaken Out of the industry.

Example 2:

In the RV market, as larger dealers become stronger, they choke off the smaller ones. Sometimes the smaller dealers will just get out of motor homes and focus on towables and used vehicles.
(Year 1990-SIC 3716)

Explanation: The smaller competitors in the recreational vehicle markets could not compete with large dealers so they either closed their new motor homes businesses or moved to selling towables or used motor homes.

Example 3:

In the late '80s, several regional carriers were gobbled up by major airlines looking for an expanded customer base.
(Year 1989-SIC 4512)

Explanation: These smaller regional carriers could not compete successfully with the major airlines and sold out to them.

Example 4:

Presidential sold the 15 gates at its Dulles International Airport hub and agreed to become a feeder for Continental. Their ten-year agreement called for Continental to book passengers on Presidential to connect with other Continental flights.
(Year1987-SIC 4512)

Explanation: Presidential is shrinking its operations and giving up its brand name to Continental. It is being Shaken Out of the industry.