Summary
Recent work by industrial economists reverses the traditional direction of causation (structure-conduct-performance), suggesting that market structure is endogenous and depends, among other things, on the nature of price and non-price competition. This paper considers the implications of one such model (Sutton, 1991) for food manufacturing structure and firm size as the Single European Market, officially completed in 1993, gradually becomes a practical reality. It suggests that there are a number of price and non-price competitive forces (not related to economies of scale) which will encourage the trend towards greater concentration and firm size.
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© 1996 Physica-Verlag Heidelberg
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Traill, B. (1996). Price and Non-Price Competition and Market Structure in the Single European Market. In: Galizzi, G., Venturini, L. (eds) Economics of Innovation: The Case of Food Industry. Contributions to Economics. Physica-Verlag HD. https://doi.org/10.1007/978-3-642-50001-5_4
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DOI: https://doi.org/10.1007/978-3-642-50001-5_4
Publisher Name: Physica-Verlag HD
Print ISBN: 978-3-7908-0911-4
Online ISBN: 978-3-642-50001-5
eBook Packages: Springer Book Archive