An Empirical Research On The Market Power Of B2C Giants

In recent years, the development of B2C network retail industry has gradually showed the trend of exceeding the traditional retail industry. It also becomes more and more important to promoting the growth of social consumption and its structure optimization. The rise of big B2C retail giants has made us easy to think of the huge monopoly of WAL-MART, Carrefour and their huge market forces in traditional retail sector. As the B2C network retail market has gradually formed a market structure of imperfect competition, the large B2C electricity suppliers and their economic behavior has caused widespread concern in the academic community. Large B2C electricity suppliers form their own market forces just like the traditional monopoly industry leading enterprises, however, the existing research results are mainly focused on the theory research of the B2C electricity suppliers’market power. The empirical research on the B2C electricity suppliers’market forces is relative rare. In view of this, this paper basing on industrial organization theory, the market power of the framework, and use the principle of the Lerner Index to measure the market power of large B2C enterprises by using 2013-2014 24 monthly spatial panel data and constructed empirical model. And use of fe method to test the factor that can influence B2C companies’ market power.Specifically, this paper’s research takes into the following six parts. The first chapter explains the research background, significance and the idea of this paper. The second chapter reviews domestic and foreign research results of market power and B2C industry and make a brief review. The third chapter is to discuss the mechanism of the market power of B2C enterprises. The fourth chapter analyzes the development and Present situation of B2C network retail industry in China. In the fifth chapter, we construct a model to measure the market power, and then construct the model of the number of active users, the number of active users, the download rank of APP, the length of entering the industry, the amount of IP address connection, and the market cost. The sixth chapter summarizes the conclusions of this paper, and explains the relevant enlightenment and policy recommendations.The results of the study show that:first, China’s B2C industry giants have market power, and the gap between different grades of B2C enterprises is obvious; secondly, because of differences in the nature of the business, a B2C enterprise has different market power in its different categories of goods. Finally, the influence factors of B2C companies’ market power model show that:IP traffic, market cost and the amount of active users have a good ability in explaining the market power of B2C companies. In addition, B2C enterprises with market power bring out some social problem, such as fake good, information security problem, the buyer monopoly, customer service problem and other aspects of a series of issues. Combined with the theoretical and empirical analysis results, the author puts forward some policy suggestions:speed up the anti monopoly law and related laws on the regulation of the B2C online retail industry; the small B2C enterprises should make a clear positioning, seeking the development on the basis of the maintenance advantages; improve the quality and related services of B2C e-commerce platform; focus on the promotion of the mobile terminal.