| Market structure is the core in industry economics and industrial concentration is the most widely studied area among various elements of it. Recently, some explanations of steel focus on increasing industrial concentration. In this paper, it is searched the extent of concentration, changing trend and reasons in China steel industry since open and reform. Considering the necessity of adjustment of concentration, some suggestions are found here.The main contents of this thesis are as follows.1. Compared with some developed countries, the industrial concentration is found to be low in the case of China steel industry, which due to historical government policies, economic system and market system etc. It makes not only scale economy benefit lost but also competition reduced.2. Analyzing the change of China steel industrial concentration for 10 years, the development of steel industry in China is not consistent with that in the world. Even, the decentralization tendency is becoming prominent.3. The data pertaining to 1990 and 2003 of China steel industry are analyzed and we get the result that steel industrial concentration is gradually increasing, but the number of steel firms becomes larger with the development of economy, which makes the extent of decentralization intensified after 2000.4. Through the analysis to data of steel firms of all provinces in 2000, we conclude all provinces have too many steel firms except four cities-Beijng, Shanghai, Zhejiang and Neimenggu. The reasonable number and scale are given to every province to explain why to put forward with annexation and reorganization of steel enterprises.5. To improve the steel industry and enhance competition, it should adjust the steel industry organization structure by market competition and government macroeconomic control to increase industrial concentration and arrange resources. |
