EconPapers    
Economics at your fingertips  
 

On the Effect of Market Share Dispersion on New Firm Entry

George Geronikolaou

International Advances in Economic Research, 2015, vol. 21, issue 3, 287-298

Abstract: Statistical estimations based on a number of European manufacturing sectors for the period 2007–2009 indicate that market share dispersion, as represented by various indices, is positively related to new firm entry. This finding contradicts the theoretical view that all aspects of industrial concentration should discourage entry. This positive effect is explained on the basis of various empirical findings showing that share dispersion alleviates incumbents’ rivalry and reduces entry-deterrent investments such as advertising and innovation. Finally, it is shown that the Herfindahl index may be insufficient to control for share dispersion. Copyright International Atlantic Economic Society 2015

Keywords: Herfindahl index; Industrial concentration; Market share dispersion; Firm entry; L1; L11 (search for similar items in EconPapers)
Date: 2015
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://hdl.handle.net/10.1007/s11294-015-9533-0 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:iaecre:v:21:y:2015:i:3:p:287-298:10.1007/s11294-015-9533-0

Ordering information: This journal article can be ordered from
http://www.springer.com/economics/journal/11294

Access Statistics for this article

International Advances in Economic Research is currently edited by Katherine S. Virgo

More articles in International Advances in Economic Research from Springer, International Atlantic Economic Society Contact information at EDIRC.
Bibliographic data for series maintained by Sonal Shukla ().

 
Page updated 2019-04-07
Handle: RePEc:kap:iaecre:v:21:y:2015:i:3:p:287-298:10.1007/s11294-015-9533-0