Research On Shanghai Real Estate Industry Performance Based On SCP Paradigm

As a pillar industry of our country, the real estate industry also plays an important role in the economic development of Shanghai. Through the comprehensive analysis system of industrial organization of Shanghai real estate industry, we can inspect the operation of the whole industry, and references to classical analysis framework of industry for in-depth analysis, find the problem and solve the problem, provide effective and evidence-based policy recommendations to improve the industry’s operational efficiency.The analytical framework of this paper is the theory of industrial organization, SCP model, the model starts from the market structure, makes a research of the enterprise’s market behaviors under certain market structure. These behaviors will take a reaction to the market structure and the market performance. This model makes comprehensive and in-depth analysis of the market, and it is widely used in the industry analysis.This paper studies the market structure with reference to classic index, makes a research to Shanghai real estate market concentration, product differentiation and barriers. Describe s a low concentration, clear product differentiation and barriers are significantly lower partial competitive market structure. About the market behavior, this paper briefly analysis the price behavior, the advertising behavior, and the government behavior.The paper chose the industry profit margins, market concentration, the per capita profit of enterprises and completion of the value growth rate of four indicators, constructs an empirical model to analyze the market performance. The VAR model is used to do the Grainger causality test, impulse response analysis and variance decomposition to analyze the influential factors.Finally, this paper gives policy recommendations from the perspective of government and enterprise. The government should continue to focus on market polices, considering the balance between high prices and the inventory. Enterprises need to alleviate the pressure of inventory, and actively seek the transformation, integration of the real estate industry and financial industry, the Internet and the health care industry.