Key drivers The market dominance of a few players has accentuated in recent years not just due to the pandemic, but because of a series of factors, including demonetization and the new goods and services tax regime, said Siddhartha Khemka, head of retail research at Motilal Oswal Financial Services.
Each of these factors has hit smaller companies to a larger extent, and market watchers feel such churns and disruptions are likely to continue to stir up further concentration in the economy.
Consolidation has also paced up as high leverage whittles down efficiency, forcing several firms to either sell assets after being put through the insolvency process, or getting gobbled up by rivals, experts said.