Abstrak 
Structure, conduct, and performance: evidence from the Indonesian food and beverages industry
Maman Setiawan, Grigorios Emvalomatis, Alfons Oude Lansink
Universitas Padjadjaran, Springer-Verlag Berlin Heidelberg 2012 Empir Econ (2013) 45:1149–1165 DOI 10.1007/s00181-012-0648-3
Inggris
Universitas Padjadjaran, Springer-Verlag Berlin Heidelberg 2012 Empir Econ (2013) 45:1149–1165 DOI 10.1007/s00181-012-0648-3
food and beverages industry, Panel data and simultaneous equations model, Structure–Conduct–Performance, Technical effciency
This article employs the Structure–Conduct–Performance (SCP) paradigm to investigate the simultaneous relationship between industrial concentration, price rigidity, technical efficiency, and price-cost margin in the Indonesian food and beverages industry. This research extends the SCP framework by including price rigidity and technical effciency as additional key variables. The results suggest that there is a simultaneous relationship between industrial concentration, price rigidity, technical efficiency, and price-cost margin with a positive bi-directional relationship between industrial concentration and price-cost margin. These findings imply that an appropriate course of action for the regulator in this highly concentrated industry is to reduce industrial concentration in order to increase competition, reduce upward price fexibility, and increase technical effciency in the long run.