Simple Definition of commodity
: something that is bought and sold
: something or someone that is useful or valued
Full Definition of commodity
1 : an economic good: as a : a product of agriculture or mining b : an article of commerce especially when delivered for shipment <commodities futures> c : a mass-produced unspecialized product <commodity chemicals> <commodity memory chips>
4 : a good or service whose wide availability typically leads to smaller profit margins and diminishes the importance of factors (as brand name) other than price
5 : one that is subject to ready exchange or exploitation within a market <stars as individuals and as commodities of the film industry — Film Quarterly>
Examples of commodity in a sentence
agricultural commodities like grain and corn
Oil is a commodity in high demand.
Patience is a rare commodity.
Origin of commodity
Middle English commoditee, from Anglo-French commoditee, from Latin commoditat-, commoditas, from commodus
First Known Use: 15th century
COMMODITY Defined for Kids
Definition of commodity for Students
: something produced by agriculture, mining, or manufacture
Legal Definition of commodity
: a class of economic goods; especially : an item of merchandise (as soybeans) whose price is the basis of futures trading
Learn More about commodity
Seen and Heard
What made you want to look up commodity? Please tell us where you read or heard it (including the quote, if possible).