Mr Johnson

Homework Example Market Structure NAICS : 33512 Description: Lighting fixture manufacturing. Companies in this perseverance manufacture residential, commercial and other types of lighting fixtures. These fixtures argon used in new construction, remodeling, and argon generally sell through with(predicate) distributors. Industry size: $9.8B in 2002 with 1,007 companies Major companies in the industry, sales and operating margin are below: ????? These are large companies with diverse business, thus all sales may not be in lighting fixtures. This would be analogous to Pepisco; they sell soft drinks but also sell Frito-lay snacks. This industry is fairly concentrated as evident by the accede below. As you see, the top four firms aver 29.1 percent of turnout while the top 50 control approximately two-thirds of the accurate $10B industry. Given this level of concentration, I believe this is an oligopoly market and beg off why below. ????? As noted in class lectures and in the book, oligopoly market structure is characterized by a few firms commanding the majority of output in an industry.

Additionally, the firms can sell tell apart or homogeneous products, there are barriers to entry to give in the market, companies are price setters, prices are higher than perfect argument and companies can make an economic profit in the short-change and long-run. In the electrical equipment manufacturing industry the top 50 firms control approximately 52% of the market. The products are differentiated because lighting fixtures exchange by one company may have a relegate reputation for quality while others may better at design. Furthermore, lighting fixtures vary by need (a al-Qaida versus a business for example). The barriers to entry in the business would bet to be somewhat high. As noted above, manufactures sell through distributors. This requires that a company have relationships with distributors throughout the U.S. and the ability to elicit and ship lighting fixtures to... If you want to get a all-inclusive essay, order it on our website: Ordercustompaper.com

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