---
entity_slug: bank_market_structure
entity_type: Element
vsm_system: S3
type_rationale: Bank Market Structure is a persistent organizational configuration
  of the banking industry that exists as a measurable arrangement of institutions
  rather than an activity or rule.
vsm_rationale: This entity operates within S3 as it represents the structural foundation
  for resource allocation and operational control in banking, which Smith analyzes
  in terms of how different market configurations affect the management of capital
  and credit in the economy.
classified_at: '2026-02-23T10:46:44.237458'
---

# Classification: Bank Market Structure

## Entity Type

Element

## VSM System

S3

## Type Rationale

Bank Market Structure is a persistent organizational configuration of the banking industry that exists as a measurable arrangement of institutions rather than an activity or rule.

## VSM Rationale

This entity operates within S3 as it represents the structural foundation for resource allocation and operational control in banking, which Smith analyzes in terms of how different market configurations affect the management of capital and credit in the economy.
