Entrance barriers: the most important competition-resticting instrument used on the Russian market

S. Lukyanov and N. Kislyak

Journal of Modern Competition, 2009, issue 1, 54-71

Abstract: A research was made into the characteristics of 180 organizations operating in the public catering segment in the Urals Region in spring of 2006. The authors use the research findings to examine the main entrance barriers set in the market segment. The article authors break all the barriers in two categories: the structure and technology-related ones and human behavior-related ones. The empirical data gathered from the poll respondents show that the behavior-related barriers are the most important ones in terms of their influence exerted on the segment newcomers. The article authors also examine the ways to overcome the barriers. Econometric analysis helped the authors find out that the franchising and direct investments are the efficient ways to overcome the entrance barriers set in the public catering market in the Urals Region.

Date: 2009
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