Overcapacity (noun)

A situation in which the supply of a product or service is greater than the demand for it, resulting in excess production and unsold goods or services.

Origin:

The word "overcapacity" is a combination of the words "over" and "capacity" which means the production, supply, or availability of more than what is needed or can be used.

Examples:

1. The steel industry is suffering from overcapacity, resulting in lower prices and reduced profits for manufacturers.
2. The overcapacity in the telecommunications industry has led to intense price competition and consolidation among companies.
3. The airline industry is facing overcapacity, with too many flights and not enough passengers to fill them.
4. The overcapacity in the housing market led to a decrease in property values and an increase in foreclosures.
5. The overcapacity in the global solar panel market has led to a decrease in prices and an increase in demand for solar energy.