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Strategy Choices of Firms and Market Structure

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  • Paul A. Kattuman
  • Barbara M. Roberts

    ()

Abstract

This paper suggests a new approach to the empirical analysis of market structure. Market concentration is an aspect of distribution of market shares of firms, and market shares are best modelled at the firm level, bringing into play strategy choices made by firms. It follows that a useful approach to explaining concentration would be a two stage one: to estimate firm size or market shares as a function of firm level determinants, and to use the information in these estimates to assess the relative contributions of firm characteristics to concentration. The method is illustrated by application to selected Polish manufacturing industries in the early transition period.

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File URL: http://www.le.ac.uk/economics/research/RePEc/lec/leecon/econ00-10.pdf
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Bibliographic Info

Paper provided by Department of Economics, University of Leicester in its series Discussion Papers in Economics with number 00/10.

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Date of creation: Dec 2000
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Handle: RePEc:lec:leecon:00/10

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Postal: Department of Economics University of Leicester, University Road. Leicester. LE1 7RH. UK
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Keywords: Market concentration; Firm Strategy; Transition; Poland;

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  1. Jonathan Morduch & Terry Sicular, 2002. "Rethinking Inequality Decomposition, With Evidence from Rural China," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 112(476), pages 93-106, January.
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