scholarly journals Study the Market Competitiveness and Its Performance in Green Chilli Seeds Market

Author(s):  
Stephan Raj ◽  
A. D. Naik ◽  
B. K. Naik ◽  
N. M. Kerur

The green chilli seeds market is majorly controlled by private companies in India. As a result, private companies are trying to make a profit with good quality seeds along with taking the good promotion activities in the market. The study was taken in Hassan district of Karnataka, India. In this study to know the market structure, the Herfindal Index was used and it found that East–West Company had a market share of 55.12 per cent followed by Seminis seeds with 22.44 per cent. Herfindal Index was 3,762.75 which depicted a moderate degree of concentration in the green chilli seed market in the study area. To know the performance of each selected company in the green chill market was calculated with help of a grid. The East-West and Beejo Sheetal companies performance was equal in the market. The display of product, appropriating schemes and distribution depth of East-West seeds company was foremost because the East-West company seeds come in metal box package which makes them appear more attractive, quality protected and prove to less damage during transit.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mahdi Ghaemi Asl ◽  
Muhammad Mahdi Rashidi ◽  
Alireza Ghorbani

Purpose This paper aims to investigate the impact of market structure and market share on the performance of the Islamic banks operating in the Iranian banking system based on the structure-conduct-performance (SCP) paradigm. Design/methodology/approach The Iranian Islamic banking system’s market structure is evaluated by using the econometrics method to test the validity of the traditional SCP paradigm. For this purpose, the authors estimate a simple regression model that is consisted of several independent variables, such as the market share, bank size, real gross domestic product, liquidity and Herfindahl-Hirschman index as a proxy variable for concentration and one dependent variable, namely, the profit as a proxy for performance. The panel data includes a data sample of 22 Islamic banks operating from 2006 to 2019. Data are extracted from the balance sheet of Islamic banks and the time-series database of the Central Bank of Iran and World Bank. Findings The study’s findings indicate that both concentration and market share have a positive impact on the performance of banks in the Iranian Islamic banking system. This result is contradicted with both traditional SCP and efficient structure hypotheses; however, it confirms the existence of oligopoly or cartel in the Iranian Islamic banking system that few banks try to gain the highest share of profit and maintain their market share by colluding with each other. This result is in contradiction with other research studies about the market structure in the Iranian banking system that claimed that banks in Iran operate under monopolistic competition. In addition, it shows that the privatization of some banks in Iran does not improve and help competition in the Iranian banking system. Originality/value This paper is a pioneer empirical study analyzing the market structure, concentration and collusion based on the SCP paradigm in Iranian Islamic banking. The results of the study support the existence of collusive behavior among the Islamic bank in Iran that is not aligned with Sharia. This study clearly shows the difference between ideal Islamic banking and Islamic banking in practice in Islamic countries. This clearly indicates that only prohibiting some operations like receiving interest, gambling and bearing excessive risk is not enough. In fact, the Islamic banking system should be based on the Sharia rule in all aspects and much more modification and study have to be done to achieve an appropriate Islamic banking system. These possible modifications to overcome the issues of cartel-like market structure and collusive behavior in the Iranian Islamic banking system include making the Iranian banking system more transparent, letting foreign banks enter the Iranian banking system and minimizing the government intervention in the Iranian banking system.


2015 ◽  
Vol 10 (4) ◽  
pp. 697-710 ◽  
Author(s):  
Solomon W. Giorgis Sahile ◽  
Daniel Kipkirong Tarus ◽  
Thomas Kimeli Cheruiyot

Purpose – The purpose of this paper is to test market structure-performance hypothesis in banking industry in Kenya. Specifically, the structure-conduct-performance (SCP) and market efficiency hypotheses were examined to determine how market concentration and efficiency affect bank performance in Kenya. Design/methodology/approach – The study used secondary data of 44 commercial banks operating from 2000 to 2009. Three proxies to measure bank performance were used while market concentration and market share were used as proxies for market structure. Market concentration was measured using two concentration measures; the concentration ratio of the four largest banks (CR4) and Herfindahl-Hirschman Index, while market share was used as a proxy for efficiency. The study made use of generalized least square regression method. Findings – The empirical results confirm that market efficiency hypothesis is a predictor of firm performance in the banking sector in Kenya and rejects the traditional SCP hypothesis. Thus, the results support the view that efficient banks maximize profitability. Practical implications – The study provides insights into the role of efficiency in enhancing profitability in commercial banks in Kenya. It has managerial implication that profitable banks ought to be efficient and dispels the notion of collusive behavior as a precursor for profitability. Originality/value – The paper fills an important gap in the extant literature by proving insights into what determines bank profitability in banking sector in Kenya. Although this area is rich in research, little work has been conducted in the developing economies and in particular no study in the knowledge has addressed this critical issue in Kenya.


1991 ◽  
Vol 23 (2) ◽  
pp. 65-74 ◽  
Author(s):  
B. Wade Brorsen ◽  
Jean-Paul Chavas ◽  
Warren R. Grant

AbstractA method was developed with time series models to test hypotheses about the relationship between market structure and spatial price dynamics. Long-run dynamic multipliers measuring the magnitude of lagged adjustment for spatial milled rice prices were calculated from the time series model and used as the dependent variable in a regression model that included a number of factors expected to influence price determination. Results show that price adjustments were slower as regional submarket concentration increased and were faster in the regions with a higher market share. Arkansas, the state with the largest market share, was consistently a price leader.


2021 ◽  
Vol 16 (1) ◽  
pp. 26-41
Author(s):  
Arintoko ◽  
Abdul Aziz Ahmad ◽  
Siti Nur Habibah

Abstract The purpose of this study is to analyze the market structure of the general insurance industry in Indonesia and the effect of market share, operating expenses to operating income (OEOI), and debt ratio(DR) on profitability measured by return on assets (ROA). This study uses panel data regression analysis with the Chow and Hausman test to determine the best model. This analysis uses a combination of cross-section data, which consists of 11 companies, and time-series data, which consists of five years. The results showed that the Indonesian general insurance industry in 2014-2018 took the form of a tight oligopoly with a high concentration level after being analyzed through the four-firm concentration ratio (CR4) and Herfindahl-Hirschman Index (HHI). The average CR4 ratio is 84.77%, while the value of HHI is 3,374.19. Meanwhile, the results showed that based on panel data analysis, the OEOI variable has a significant negative effect on firm profitability. Also, the debt ratio variable has a significant negative effect on the profitability of general insurance firms in Indonesia. The firm efficiency can be able to increase profits rather than mastery of market share.


Media Ekonomi ◽  
2017 ◽  
Vol 20 (3) ◽  
pp. 99
Author(s):  
Lusiana .

<p>Development of the tire industry in Indonesia is influenced by developmentsin the automotive industry. This occurs because the demand in tire industry is thederived demand principle for a good or service that appears as a result of thedemand for other goods. The number of motor vehicles from previous years isincreased, if in a year 2013 there was no credit restrictions so the number of motorvehicles will be growing and demand for tires in domestic will increase. This research aims to find out market structure of the tire industry in Indonesia year 2007 until 2011, and describes the conduct as a result of the existingmarket structure. Some tire companies analyzed is a company incorporated inAssociation of Tire Companies Indonesia (APBI) that is PT Goodyear Indonesia Tbk,PT Bridgestone Tire Indonesia, PT Gajah Tunggal Tbk, PT Industrial Rubber Deli,PT Sumi Rubber Indonesia, PT Eagle Premium Tyre Industry, PT SuryarayaRubberindo Industries, PT Banteng Pratama Rubber Co, PT Hung­A Indonesia, PTUnited King­Land and PT Surabaya Kencana Tyre Industry. The data used in thisresearch is secondary data obtained from the Association of Tire Companies Indonesia (APBI). The method of analysis used in this study is a method of structureconductperformance. To determine the market structure of the tire industry is done by calculating the concentration ratio (CR4) and Herfindal Hirschman Index (IHH).Conduct of the tire industry can be analyzed descriptively derived from interviews. The results of this research is indicate that the tire industry in Indonesiaincluding the tight oligopoly structure. This is demonstrated by the level ofconcentration ratio (CR4) of the four largest companies ranged from 87,89 to 88,81percent. While the value Herfindal Hirschman Index (IHH) ranges from 0.2669 to0.3172 percent. Four companies with the largest market share among other PTGajah Tunggal Tbk, PT Bridgestone Tire Indonesia, PT Sumi Rubber Indonesia andPT Goodyear Indonesia.<br />Keyword: Market share, CR4, IHH, Indonesian tire industry and oligopoly.</p>


Media Ekonomi ◽  
2017 ◽  
Vol 20 (1) ◽  
pp. 27 ◽  
Author(s):  
Arviana Yuliasari

<p>Motorcycle industry in Jakarta has developed very rapidly. It is because the motorcycle industry become primary attention in market structure and behavior of the industry. Motorcycle industry in Indonesia aims to produce a better quality product and increase sales of motorcycle products, in order to generate maximum profits. This study aims to analyze the market structure of the motorcycle industry in Jakarta in 2009 until 2012. Motorcycle companies use in this research are members of the AISI (Indonesian Motorcycle Industry Association) a motorcycle with brands Yamaha, Honda, Suzuki, Kawasaki and Kanzen. The method of analysis used in this study is concentration ratios CR4 and IHH calculation, to determine the market share of the motorcycle industry in Jakarta. The results showed the motorcycle industry in Jakarta have an oligopoly market structure with a concentration above 90 percent in 2009-2012.<br />Keywords : Oligopoly, Concentration Ratio, Conduct.</p>


THE BULLETIN ◽  
2021 ◽  
Vol 3 (391) ◽  
pp. 40-44
Author(s):  
N. A. Gerasymchuk ◽  
L.M. Stepasyuk ◽  
Z.M. Titenko ◽  
I.M. Yermolenko

The article proved that in the context of European integration, the intensification of competition between producers becomes a major factor of the consolidation and unification of various economic entities, because this is one of the main ways to increase competitiveness, which in turn leads to market concentration. The investigation of the market structure, its type, and hence the economic processes occurring in it, is directly related to determining the state of the competitive environment, its assessment and study of the possibilities of restricting or developing competition. The article reveals the basic principles of development of agricultural enterprises, highlights the problems and prospects of their development in a competitive environment. The importance of concentration indicators in the context of the relationship between monopoly power and the level of concentration of sellers in the market is substantiated. Methodological aspects of using the market concentration index and the Herfindahl-Hirschman index are analysed; their advantages, disadvantages and possibilities of use in the process of market structure research, its type, state of competitive environment and degree of monopolization are revealed. In the process of research the concentration of agricultural markets, it was found that there was a moderate level in almost all types of products in Ukraine, only the pork market is highly concentrated. Analysis of the competitiveness of agricultural products shows that a significant market share is occupied by crops such as sunflower and corn. Studies show that there are certain types of products that have a high level of profitability, including rapeseed and barley, but they occupy a small market share. It is established that to ensure competitive production of agricultural products requires state support of the industry through the provision of tax and credit benefits to enterprises that implement modern business methods. Further prospects for the development of the agricultural sector in Ukraine have been identified.


Author(s):  
Muhammad Authar ND ◽  
Anwar Puteh

Patchouli (Pogostemon cablin Benth) is an essential oil-producing plant which is a source of foreign exchange for the country. Indonesia is currently the world's producer of patchouli oil with a contribution of 90%, for that it is necessary to maintain market opportunities by increasing production through appropriate cultivation techniques, improving the quality of patchouli oil and developing patchouli plantings in areas that have bright prospects seen from the level of suitability. land and climate.The purpose of this study was to determine market structure, market behavior (various forms of collusion) and market appearances that occurred in the marketing of nimal oil in Bukut Village, Terangun District, Gayo Lues Regency. The data used are primary data and secondary data, for market participants, snowball sampling is used. The method used to analyze the market structure is Concentration Ratio analysis tools (Market Share, Herfindal Index and Concentration Ratio for Biggest Four or ), Degree of Product Differentiation, Barriers to Market Entry and Level of Market Knowledge. To analyze Market Behavior, it is descriptively analyzed about collusion and strategies that occur. To analyze the Market Performance used the analysis tools of Marketing Margin, Share Price, and Cost and Profit Ratio.〖CR〗_4.Market share at the collector levelthere is an oligopoly marketing system for patchouli oil with loose concentration. The concentration of buyers in marketing patchouli oil in Bukut village, both collectors, village collectors, and representative warehouses/ wholesalers is oligopsony. The marketing structure of Patchouli Oil in Gayo Lues, at the level of collector traders is a loose oligopoly with a CR4 value of 0.5421, at the level of a village collector it is a tight oligopoly with a CR4 value of 0.8855, while at the warehouse representative/ wholesaler level it is a tight oligopoly with a CR value, reaching 1.00. should have a value of 1.00 is a monopoly, but because there are still three competing companies, it is categorized as a strict oligopoly.


2020 ◽  
Vol 5 (2) ◽  
pp. 199-208
Author(s):  
Keti Purnamasari

Abstract- The determinants of bank performance can be grouped into three groups, namely; 1) bank specific factors related to management decisions and policy objectives, 2) industry factors related to industrial structure and market growth, and 3) macroeconomic factors that reflect the economic conditions in which the bank operates. This study analyzes the effect of bank-specific factors and industry factors on banking performance using panel data regression analysis on a sample of 39 Indonesian Commercial Banks during the 2015-2019 period. Bank specific factors consist of bank size, efficiency, and capital adequacy, while the industrial factor in this study is the market structure which includes market concentration and market share. Banking performance is measured by Return on Equity and Net Interest Margin. The results of this study indicate that bank size and efficiency (BOPO) has a negative and significant effect on banking performance. Capital adequacy and market concentration have no effect on banking performance. Meanwhile, the market share variable has a positive and significant effect on banking performance as measured by Net Interest Margin but does not affect banking performance as measured by Return on Equity. Keywords : bank size, efficiency, capital adequacy, market structure, banking performance Abstrak- Determinan kinerja bank dapat dikelompokkan menjadi tiga kelompok yaitu ; 1) faktor spesifik bank yang terkait dengan keputusan manajemen dan tujuan kebijakan, 2) faktor industri yang terkait struktur industri dan pertumbuhan pasar, dan 3) faktor makroekonomi yang mencerminkan keadaan ekonomi dimana bank beroperasi. Penelitian  ini menganalisis pengaruh faktor spesifik bank dan faktor industri terhadap kinerja perbankan dengan menggunakan analisis regresi data panel pada sampel dari 39 Bank Umum Konvensional Indonesia selama periode 2015-2019. Faktor spesifik bank terdiri atas ukuran bank, efisiensi, dan kecukupan modal sedangkan faktor industri dalam penelitian ini adalah struktur pasar yang meliputi konsentrasi pasar dan pangsa pasar. Kinerja perbankan diukur dengan Return on Equity dan Net Interest Margin. Hasil penelitian ini menunjukkan hasil bahwa variabel ukuran bank dan efisiensi (BOPO) memiliki pengaruh negatif dan signifikan terhadap kinerja perbankan. Variabel kecukupan modal dan konsentrasi pasar tidak berpengaruh terhadap kinerja perbankan. Sedangkan variabel pangsa pasar memiliki pengaruh positif dan signifikan terhadap kinerja perbankan yang diukur dengan Net Interest Margin namun tidak berpengaruh terhadap kinerja perbankan yang diukur dengan Return on Equity. Keywords : ukuran bank, efisiensi, kecukupan modal, struktur pasar, kinerja perbankan 


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