The Empirical Study Of Organization Of Dairy Industry In China

Since implementing opening-up policy, Chinese dairy industry has been in a rapid development stage. The industry's sales took up 23.25 percent of the whole food manufacturing in 2004, and become the biggest one in food manufacturing. The vast development prospect has attracted many enterprises into this industry, such as, Xinxiwang, Wahaha and so on. Many international dairy companies also brought huge capital and joined it. But many problems occurred when this industry developed fast. Such as, the market concentration is not high, enterprises'technology innovation ability is not very good, the trust crisis because of too much Counterfeit commodities in the market and so on. Reasons for all these problems are multifaceted, the main one is that the market structure of domestic dairy industry is not sound and enterprises'conducts are irregular. Therefore, it is imperative to start a comprehensive and in-depth research of the industrial organization of domestic dairy industry.This paper firstly researches the consumption condition in this industry, through empirical research, the author find the increase speed of dairy consumption become slow in these years, and the consumption level of people in little cities and rural areas is still very low. And then, the author deeply analyses the industry's market structure, conduct and performance respectively. Before researching the market structure, the author analyses the scale structure and property right structure, the author also researches enterprises'corresponding performance with different scale and property right. When researching the market conduct, the author especially analyses the counterfeiting conduct by game theory and provides corresponding countermeasures. After that, the author tries to analyze the interrelation of dairy industry's SCP through establishing simultaneous equations model of econometrics. At last, the author brings forward market structure, market conduct and market performance policy suggestions,to optimize the dairy industry organization by adopting developed countries'successful experience.