Profit-Concentration Relation Ship Evidence From Ethiopian Large And Medium Manufacturing Industries
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Date
2009-06
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A.A.U
Abstract
This study has investigated the role of market structure on the profitability of
Ethiopian larger and medium scale manufacturing industries. The market structure
is measured by the four firm concentration ratio, import intensity, export intensity
and barriers to entry and the average price- cost margin were used as proxy for
performance of the industry. OLS multiple regression has been used for the period
of 200516 in order to test the relation ship between the market structure variables
and the profitability of the industries. The empirical investigation of this paper
shows, the four finn concentrations, ban'iers to entry and export intensity affect the
profit of the industries positively while import intensity has down effect on the
profit of the industries.
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Keywords
Market Structure, OLS Multiple Regression