Industrial Organization

Author: Luo Pinliang
Publisher:
Publish Date: 2006-08-01
Features: Over the past 30 years, modern industrial organization research based on game theory, business strategy, and contestable market theory has made breakthrough progress, strongly challenging the traditional industrial organization theory's Structure-Conduct-Performance (SCP) paradigm and price theory paradigm. Industrial competition and regulation, as well as innovation in industrial organization forms, have become key themes in modern industrial organization. Against the backdrop of modern industrial organization theory advancements, this book organically combines the traditional SCP paradigm with the basic theoretical methods of New Empirical Industrial Organization (NEIO), systematically analyzing the theoretical framework, basic theoretical methods, and empirical research findings of modern industrial organization following the SCP-R (Structure-Conduct-Performance-Regulatory) logic. The basic content of this book is divided into four parts: market power, non-cooperative competition, strategic interaction, and innovation in industrial organization forms and regulation.
First, it introduces the core issue of industrial organization—the organizational structure within industries and their operational performance—focusing on the sources and implementation of market power, the efficiency losses caused by market power, and their regulatory policies. Next, it introduces the basic analytical method of this book—game theory—and uses it to analyze non-cooperative competition models with homogeneous products and differentiated products. Building on this, the book emphasizes the systematic study of firms' strategic interaction behaviors using dynamic game theory methods, including: firms' dynamic price competition behavior and alliances, strategic behaviors to deter market entry, industrial chain control strategies, strategic advertising investments, the motivation mechanisms and organizational forms of firm research and development (R&D). Finally, it explores industrial organization regulation theory and policies, including the welfare effects of horizontal mergers and their regulatory policies, the impact of the internet economy on traditional competitive behaviors, standard competition strategies, access regulation reforms in network industries, and industrial organization regulation policies under information asymmetry. Additionally, the book elaborates on the research progress of industrial organization in industrial clusters and value modularity.
This book offers a novel research perspective. Each chapter starts by proposing fundamental issues, explains basic models in an accessible manner, and then expands from exogenous to endogenous, or from static to dynamic, or from discrete to continuous. It then presents representative cutting-edge research and empirical studies, including some insightful case analyses. The book is rich in content, with theoretical insights that are innovative and forward-looking, and its case analyses have strong practical reference value. This book is suitable for graduate students (including MBA) in industrial economics, quantitative economics, management science and engineering, marketing, business management, international trade, and other related fields, as well as senior undergraduate economics students, university and college faculty in economics and management, and management and research personnel in enterprises and institutions at various levels.