BUS 525: Managerial Economics Lecture 7 The Nature of Industry
Por um escritor misterioso
Last updated 18 abril 2025

Industry Analysis Market Structure –Number of firms. –Industry concentration. –Technological and cost conditions. –Demand conditions. –Ease of entry and exit. Conduct –Pricing. –Advertising. –R&D. –Merger activity. Performance –Profitability. –Social welfare.
Industries dramatically vary with respect to concentration levels. –The four-firm concentration ratio and Herfindahl- Hirschman index measure industry concentration. The Lerner index measures the degree to which firms can markup price above marginal cost; it is a measure of a firm’s market power. Industry performance is measured by industry profitability and social welfare..
Industries dramatically vary with respect to concentration levels. –The four-firm concentration ratio and Herfindahl- Hirschman index measure industry concentration. The Lerner index measures the degree to which firms can markup price above marginal cost; it is a measure of a firm’s market power. Industry performance is measured by industry profitability and social welfare..

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