The Stability of Market Leadership Positions in Japanese Manufacturing Industries (2005.4)

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CPDP- 15-E(PDF:340KB)	"The Stability of Market Leadership Positions in Japanese Manufacturing Industries" (2005.4) Masatoshi KATO(Competition Policy Research Center, Fair Trade Commission of Japan and Graduate School of Commerce and Management, Hitotsubashi University) Yuji HONJO(Faculty of Commerce, Chuo University) Using a newly constructed panel data set, we investigate the stability of market leadership positions as a measure of market mobility. This paper not only shows the extent of stability of leadership positions across industries over time, but also empirically examines the impacts of industry-specific characteristics and macro-economic conditions on the stability of leadership positions. It is found that leadership positions are more stable in highly concentrated industries. In addition, this paper provides evidence that leadership positions are sensitive to macro-economic conditions, and that high economic growth tend to induce the turnover of market leaders. JEL classification codes: L13, L60 Keywords: Binary choice model, Concentration, Market leadership position, Panel data.

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Contents，Author

"The Stability of Market Leadership Positions in Japanese Manufacturing Industries" (2005.4)
Masatoshi KATO(Competition Policy Research Center, Fair Trade Commission of Japan and Graduate School of Commerce and Management, Hitotsubashi University)
Yuji HONJO(Faculty of Commerce, Chuo University)
Using a newly constructed panel data set, we investigate the stability of market leadership positions as a measure of market mobility. This paper not only shows the extent of stability of leadership positions across industries over time, but also empirically examines the impacts of industry-specific characteristics and macro-economic conditions on the stability of leadership positions. It is found that leadership positions are more stable in highly concentrated industries. In addition, this paper provides evidence that leadership positions are sensitive to macro-economic conditions, and that high economic growth tend to induce the turnover of market leaders.
JEL classification codes: L13, L60
Keywords: Binary choice model, Concentration, Market leadership position, Panel data.