The Research On Chinese Book Publishing Industry Organization Under The Background Of Industry Convergence

Industry convergence has been a trend since 21st century, the boarders shrinking between IT industry, telecom industry, media industry, press industry etc., the overlaps between industries happening more and more often. The market structure, market conduction and market performance of Chinese book publishing industry have changed under the Background of Industry Convergence. Increase in market participators and the contrary effect of market concentration which not only intensify the competition, but also accelerate monopolization. The emergence of new technology and new product provide various choices. Long-tail demand law makes the conduction turn into scope economy. Network externality and Metcalfe's law induce the transition of value of industry chain, and the content resources become the added value. Industry convergence break through the industry boarder, improve the efficiency of resource utilization, reduce cost, promote the effective competition, innovation and upgrade of industry structure.The development of the book publishing industry still has all sorts of questions. Mainly as follows:industrial concentration degree is low, the production structure is single which depends on the textbooks and teaching-aid books, this market forms the stern administration barrier and regional market disperses, the publishing houses has gained the monopoly profit for a long time, the market conduction has consubstantial trend, the market participators lack the competition consciousness.According to the industry organization theory and other economics and management theories, this paper has analyzed the current situation of industry organization of book publishing development in our country comprehensively and systematically, researches the rational target model under the background of industry convergence. This paper has put forward that the rational organization of Chinese book publishing industry will be achieved through establishing effective competition market structure, pushing the development of industry convergence, and satisfying the individual culture consumption demand, which can promote this industry developing healthily, steadily and rapidly.Firstly, this paper has analyzed the current situation of market structure, market conduct and market performance. This research has drawn the conclusion as follows. The market segment of our country disperse, the industry concentration degree is low just like atom structure. But the concentration degree of textbooks market is high as monopoly structure. The product structure is unbalanced that the textbooks and teaching-aid books hold a majority of market share. The entry barrier the market is high, and the assets requirement is made of economic barrier to some extent. The predatory pricing of the e-book decrease the income elasticity demand, resulting in price fight for market share. The non-cooperative competition in the textbook market forms high rigid entry barrier. The main market conduct is organization adjustment of collectivization reform began from 1999, which increase the market concentration but still can't change the atom market structure. There exist some problems in the reform just as the market motive power is insufficient, the region administration barrier of merger and acquisition has not been broken, corporate governance is not yet perfect. The cross-subsidization of government, the sale of book number and rigid entry barrier lead to the low efficient of resource allocation, and the reading demand can't be satisfied. X-inefficiency in publishing houses is caused by the extensive management, the low level of operating and management. There is scale economy but no scale efficiency in textbook market. In this paper, we test the structure-performance relationship of Chinese book publishing industry based on data from 2004 to 2006 including the top-ten book publishing enterprises in China. We find evidence to support the "Relative Market Power Hypothesis" and no evidence to support the "Efficient Structure Hypothesis". Nevertheless, there is a significant positive correlation between market performance and X-efficiency, scale structure efficiency, that is to say, if we increase the X-efficiency and scale structure efficiency, the market performance can be improved.Based on the captioned analysis, through comparing with the industry organization characteristic of the western book publishing developed country, combining the characteristic of industry convergence, this paper has conduct a comprehensive evaluation and analysis to establish evaluation index of industry organization rationalization under the background of industry convergence. And it has proposed rational target model which should have the characteristics as follows:(1) the market structure of "oligopoly dominated, large-middle-small scale coexisted" can promote effective competition in which the industry will achieve scale economy and market activity; (2) the industry convergence degree is high; (3) production depend on individual demand for providing various culture consumption choice.Then combining with the industry economic laws under the background of industry convergence, this paper has discussed the approaches how to reach the rational target model with emphasis. The approaches includes deepening publishing system reform, cultivating the real market participators, establishing scientific management system, enhance X-efficiency, rebuilding the added value chain-"the concentrated platform of content", putting up modularization production network, practicing differentiation strategy, pushing forward the merge and acquisition in textbook market to set up leading enterprises, establishing international media tycoons by capital operating.At last, this paper has analyzed the industry organization policy of Chinese book publishing industry. The adjustment direction should be to promote effective competition so that the self-organizing ability will be increased, to rectify the fallacy of composition of government, to reform the purchase mode of textbook, to enhance creative capability and inherit culture by incentive measures for innovative talents, and to less industry control to improve industry convergence. As will bring a greater advance and bigger prosperous in book publishing industry in our county.