The Impact of Market performance on the Concentration in Food and Beverage Industry in Iran (A Dynamic Panel Data Approach)

Authors

1 Assistant Professor of Economics, Shahrood University of Technology

2 Assistant Professor of Department of Biostatistics, University of Social Welfare and Rehabilitation Sciences

3 Assistant Professor of Economics, Bojnourd University

Abstract

 
The main objective of this paper is to examine the impact of market performance on the degree of concentration in food and beverage industry in Iran. For this purpose we have taken the dynamic panel data approach on data collected from industrial workshops with 10 employees or more during the period of 1374 to 1389.In order to measure the degree of concentration we used the 4-firm concentration ratio and the profitability rate for market performance.
Markov-switching LSTAR auto regressive logistical approach and smooth transition are used as the econometric approach. We have used advertising intensity and research and development expenditures as behavioral variables in the econometric model. The results of this study indicate that profit ability and research and development costs have a negative and significant effect and advertising has a positive and significant effect on the degree of concentration in the food and beverage industry of Iran

Keywords

References

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