Empirical Analysis Of Guangdong Newspaper Industrial Organization

Based on a systematic study and explanation of the western industrial organization theories, this dissertation gives an empirical analysis on the newspaper industry of Guangdong province by Structure-Conduct-Performance paradigm of Harvard School. The calculated indexes of CR4 and IHH show that Guangdong's newspaper market dominated by four newspaper groups, including issuing market and advertisement market, belongs to the style of oligopoly. This dissertation also analyzes economics of scale and scope in the market and their causes. By measuring the firms' entry, we discover high barriers to entry exist in the market, about 25% higher than the nation s average level. As a result, in the oligopolistic market, other firms besides the four groups are generally local and have a small scale. Therefore, completions are concentrate on the four groups in the fields of brand, issuance, advertisement, price, human resources and so on. Currently, each group maintains relatively stable market share: Shenzhen Tequ Newspaper Group dominates in Shezhen ; while other regions in Zhujiang Delta are controlled by other three groups in Guangzhou among which Guangzhou Daily Group is the strongest. Newspaper groups develop over the course of time of competition, making better use of the resources. For example, the groups assets, incomes, profits, taxes and all increase greatly and the technology makes great advances. The good performances in turn accelerate the development of Guangdong newspaper market. Finally, the dissertation points out some main problems existing in Guangdong newspaper industry and accordingly provides some industrial policies and suggestion.