Herfindahl-Hirschman Index Calculator

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Finance

Calculate market concentration using HHI for antitrust and competitive analysis.

Formula

HHI = Σ(Market Share %)²
  • <1,500: Unconcentrated; 1,500-2,500: Moderate; >2,500: Highly concentrated

Smartphone Market

Inputs
  • Firm 1 Market Share (%): 28 %
  • Firm 2 Market Share (%): 22 %
  • Firm 3 Market Share (%): 13 %
  • All Others Combined (%): 37 %

HHI = 1,942 = moderately concentrated.

Frequently asked questions

What does HHI measure?
HHI measures overall market concentration (0=perfect competition, 10,000=monopoly).