Profit-concentration Relation Ship Evidence From Ethiopian Large And Medium Manufacturing Industries

This study has investigated the role of market structure on the profitability ofrnEthiopian larger and medium scale manufacturing industries. The market structurernis measured by the four firm concentration ratio, import intensity, export intensityrnand barriers to entry and the average price- cost margin were used as proxy forrnperformance of the industry. OLS multiple regression has been used for the periodrnof 200516 in order to test the relation ship between the market structure variablesrnand the profitability of the industries. The empirical investigation of this paperrnshows, the four finn concentrations, ban'iers to entry and export intensity affect thernprofit of the industries positively while import intensity has down effect on thernprofit of the industries.

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