Analytical Framework and Qualitative Observations

2020 ◽  
pp. 36-79
Author(s):  
Murali Patibandla
Keyword(s):  
Analytical Framework ◽  
Monopoly Power ◽  
Transactions Costs ◽  
Large Firms ◽  
Strategic Interactions ◽  
Domestic Markets ◽  
Production Processes ◽  
Monopsony Power ◽  
Input Markets ◽  
Medium Firms

It develops a simple theory of Cournot strategic interactions between firms as basic framework and discusses behaviour of firms from dimensions of market structure, technology, scale economies, and value-chains (subcontracting). It demonstrates how large firms derived monopoly power in the product markets and monopsony power in the input markets. This, in turn, made them inward oriented in search of monopoly power in the Pre-reforms era. On the other hand, small and medium scale firms faced highly competitive conditions and high transactions costs in the domestic markets especially in the sub-contracting linkages with large firms. This, in turn, drove relatively efficient small and medium firms to exports where they are price takers facing lesser degree of transaction costs. The chapter also traces how exporting small and medium firms realized efficiency in production processes.

scholarly journals La tarification douanière dans un optimum de compromis

2009 ◽  
Vol 52 (4) ◽  
pp. 421-431
Author(s):  
Camille Bronsard ◽  
F. Kalala Kabuya
Keyword(s):  
International Trade ◽  
Open Economy ◽  
General Model ◽  
Trade Unions ◽  
Modern Society ◽  
The Other ◽  
Monopoly Power ◽  
General Context ◽  
Transactions Costs ◽  
Optimal Tariffs

Abstract The purpose of this paper is to integrate into a general model of an open economy the study of optimal wedges on domestic and foreign transactions. While it has been customary in the literature to link the analysis of domestic taxes to the provision of public goods, the model presented here views the imposition of taxes and tariffs in the general context of internal and external monopolies. As such, the paper begins with the idea of a compromised optimality. This means essentially that a modern society, while maximizing the welfare of its members, is constrained by other internal objectives such as the fact that the State shares its monopoly power with several other economic entities (for instance employers' federations, trade-unions). Thus, the mere fact of levying taxes gives a State some monopoly power which, in a sense, is similar to that of a Cournot-type monopolist who "imposes" private taxes. On the other hand, given the possibility that a country with some monopoly power in international trade could improve its situation by imposing tariffs, the analysis lends itself to the study of tariffs and taxes in the broad context of optimal wedges. To allow for this characterization, the paper incorporates into the model of normalization. As a by-product of this, a) it establishes, in terms of generalized inverses of the Slutsky matrix, a link between domestic marginal relative revenues and foreign ones; b) it defines two concepts of optimal tariffs evaluated from f.o.b. prices and c.i.f. prices; c) it suggests some further extensions such as the analysis of transactions costs, the incorporation of market retaliations and cultural characteristics of goods.

Corporate Networks and the Spatial and Functional Reorganizations of Large Firms

1995 ◽  
Vol 27 (10) ◽  
pp. 1627-1645 ◽  
Author(s):  
F Li
Keyword(s):  
Analytical Framework ◽  
Space And Place ◽  
Large Firms ◽  
Corporate Reorganization ◽  
Systematic Analysis ◽  
Corporate Networks ◽  
Wide Range ◽  
Urban And Regional Development ◽  
Corporate Reorganizations

In this paper a new analytical framework is developed to examine the emergent spatial and functional reorganizations of large firms that are intimately related to the use of corporate networks. The framework is developed through a systematic analysis of the various types of relationships between information technology and corporate reorganization, and the identification of the key elements and dimensions of corporate reorganizations. It allows for specific organizational changes to be understood within the overall context of corporate reorganization in the firm, and most of all, to be easily seen as in some way related to the use of corporate networks. Unlike previous studies in which the role of space and place has mostly been marginalized, in this inquiry geography is regarded as an integral part of the development of corporate networks and corporate reorganizations. By centrally focusing on the intersections between corporate networks, large firms, and geography, I conceptualize a wide range of phenomena that are observed in real organizations, and speculate on their implications for the future form of organizations and urban and regional development.

scholarly journals Determinants of Manufacturing Firms’ Financial Performance in Pakistan

2021 ◽  
Vol 3 (2) ◽  
pp. 1-10
Author(s):  
DR. SAID SHAH ◽  
S.M. AMIR SHAH
Keyword(s):  
Financial Performance ◽  
Stock Exchange ◽  
Secondary Data ◽  
Large Firms ◽  
Working Capital ◽  
Management Efficiency ◽  
Fixed Assets ◽  
Investment In Fixed Assets ◽  
The Impact ◽  
Medium Firms

Investment in working capital by and large shows better returns than investment in fixed assets. As such proper management of working capital rightfully attracts a lot of attention. The objective of this research is to examine the impact of size and working capital management efficiency on firms’ financial performance using 10 years (2004- 2013) secondary data of 153 firms listed on Pakistan Stock Exchange and employing regression and ratio analyses. Results show that performance-wise large firms are better whereas WCME-wise small and medium firms are better. These findings indicate that better performance of large firms is not because of efficient utilization of working capital - rather it may be due to some other factors and these firms can further improve their performance if working capital is managed more efficiently.

Private agreements for coordinating patent rights: the case of patent pools

2011 ◽  
pp. 5-30
Author(s):  
Nancy Gallini
Keyword(s):  
Intellectual Property ◽  
Competition Policy ◽  
Transactions Costs ◽  
Economic Literature ◽  
Patent Pools ◽  
The Past ◽  
Patent Rights ◽  
Cooperative Agreements ◽  
Input Markets

Inventors and users of technology often enter into cooperative agreements for sharing their intellectual property in order to implement a standard or to avoid costly litigation. Over the past two decades, U.S. antitrust authorities have viewed pooling arrangements that integrate complementary, valid and essential patents as having pro-competitive benefits in reducing prices, transactions costs, and the incidence of legal suits. Since patent pools are cooperative agreements, they also have the potential of suppressing competition if, for example, they harbor weak or invalid patents, dampen incentives to conduct research on innovations that compete with the pooled patents, foreclose competition from downstream product or upstream input markets, or soften competition with outside substitutes that do not rely on the pooled patents. In synthesizing the ideas advanced in the economic literature, this paper explores whether these antitrust concerns apply to pools with complementary patents and, if they do, the implications for competition policy to constrain them.

Online or Offline?

2010 ◽  
Vol 8 (3) ◽  
pp. 26-37 ◽  
Author(s):  
Susan Johnson ◽  
Arvind Ashta ◽  
Djamchid Assadi
Keyword(s):  
Developing Countries ◽  
Asymmetric Information ◽  
Web 2.0 ◽  
Peer To Peer ◽  
Transactions Costs ◽  
Web 2.0 Technologies ◽  
New Approach ◽  
Domestic Markets ◽  
The Past ◽  
Peer Lending

Over the past five years, “peer-to-peer” lending websites have become a new approach to mobilizing funds for on-lending to impoverished people in developing countries (microfinance) and domestic markets. In this paper, the authors review these developments and use the analytical lens of asymmetric information and transactions costs to explain the characteristics of the different models in operation. The authors find that “peer-to-peer” lending is more of an aspiration than a reality. Although web 2.0 technologies have offered new means of mobilizing funds, the borrowing mechanisms at work follow mainstream conventional approaches to the management of lending.

scholarly journals Free trade and deregulated domestic markets: Attitudes of commercial farmers in KwaZulu-Natal

1998 ◽  
Vol 1 (1) ◽  
pp. 122-144
Author(s):  
R. C. Stockil ◽  
G. F. Ortmann
Keyword(s):  
Risk Management ◽  
Free Trade ◽  
Management Practices ◽  
Economic Environment ◽  
Domestic Product ◽  
Land Values ◽  
Import Tariff ◽  
Domestic Markets ◽  
Kwazulu Natal ◽  
Input Markets

This study analyses farmers' attitudes towards free trade and deregulated domestic product and input markets using a survey conducted in 1996 among 112 commercial farmers in KwaZulu-Natal. Most respondents were in favour of liberalised trade and deregulated domestic markets, but expected a decline in product prices, farm profits and land values. Logit analyses of farmers' personal and business characteristics that influence their attitudes towards free trade and deregulated domestic markets were conducted. Results indicate that improved information on risk management practices and import tariff levels may help commercial farmers to adapt to a changing economic environment and reduce resistance to free trade.

Negotiation arithmetic: adding and subtracting issues and parties

1983 ◽  
Vol 37 (2) ◽  
pp. 281-316 ◽  
Author(s):  
James K. Sebenius
Keyword(s):  
International Negotiations ◽  
Transactions Costs ◽  
Strategic Interactions ◽  
Unified Approach

Students of international negotiations often examine strategic interactions among a given set of parties dealing with a specified group of issues. The issues and parties themselves are often choice variables whose ultimate configuration can have decisive effects on a bargain's outcome. Using a variety of international cases, I investigate the properties of several classes of moves that are intended to alter the issues and parties of an original negotiation. A unified approach to the analysis of such situations suggests numerous distinct means by which the “addition” or “subtraction” of issues can yield one-sided gains to the use of power; can yield joint gains that create or enhance a zone of possible agreement; and can reduce or destroy a zone of possible agreement. The effects of adding or subtracting parties are similarly analyzed. However, unintended complexity, unforeseen interrelationships, organizational considerations, transactions costs, and informational requirements may alter the analysis of such moves.

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