Specialization refers to a method of production where an entity focuses on producing a limited scope of goods or services to gain greater efficiency. This can involve focusing on one product or a limited scope of products to increase productivity and provide a comparative advantage for a firm or economy. Specialization can occur at both the microeconomic level, involving individual actors and economic components, and the macroeconomic level, involving the broad advantage an economy holds in production.
In most industries, specialization is common. For example, many countries specialize in producing goods and services that are native to their part of the world, and they trade them for other goods and services. Specialization is thus the basis of global trade, as few countries have enough production capacity to be completely self-sustaining.
Specialization can also refer to the process of becoming an expert in a particular area of knowledge or the pursuit of a particular line of study or work. In academia, specialization may refer to a course of study or major at an academic institution or the field in which a specialist practices. In medicine, specialization refers to a branch of medical practice or science. In computer science, specialization can refer to a style of programming or a particular form of class template specialization.
Overall, specialization involves focusing on a limited scope of goods, services, or knowledge to increase efficiency and productivity.
