Primary market and aftermarket competition in the bicycle component industry
This study examines the bicycle component industry. This industry is characterized by one dominant firm, Shimano Inc., and four or five smaller players. Firms in the component industry produce components for sale in two related markets, the market for original equipment manufacturers (OEM) and the component aftermarket. A unique data set containing information on aftermarket prices and OEM market shares is used to determine whether or not market power in the aftermarket is a function of OEM market power. The results indicate that concentration in the OEM market is positively related to aftermarket price, while an individual firm's OEM market share is inversely related to aftermarket price.
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Volume (Year): 36 (2004)
Issue (Month): 18 ()
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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Zhiqi Chen & Thomas W. Ross, 1998.
"Orders to Supply as Substitutes for Commitments to Aftermarkets,"
Canadian Journal of Economics,
Canadian Economics Association, vol. 31(5), pages 1204-1224, November.
- Zhiqi Chen & Tom Ross, 1996. "Orders to Supply as Substitutes for Commitments to Aftermarkets," Carleton Industrial Organization Research Unit (CIORU) 96-02, Carleton University, Department of Economics.
- Severin Borenstein & Jeffrey MacKie-Mason & Janet Netz, 1996.
"Exercising Market Power in Proprietary Aftermarkets,"
_002, University of California at Berkeley, Haas School of Business.
- Severin Borenstein & Jeffrey K. Mackie-Mason & Janet S. Netz, 2000. "Exercising Market Power in Proprietary Aftermarkets," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 9(3), pages 157-188, 06.
- Severin Borenstein & Jeffrey K. Mackie-Mason & Janet S. Netz, 2000. "Exercising Market Power in Proprietary Aftermarkets," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 9(2), pages 157-188, 06.
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