The Structural Power of Enterprises: Beyond the Notion of Market Power
The purpose of this paper is the conceptualisation of the notion of enterprises’ structural power. It allows to draw the attention to the process of diversification of enterprises and building of complex and multidimensional ownership structures as possible sources of the increase in the companie...
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Format: | Article |
Language: | English |
Published: |
University of Primorska
2015-06-01
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Series: | Managing Global Transitions |
Subjects: | |
Online Access: | http://www.fm-kp.si/zalozba/ISSN/1581-6311/13_189-206.pdf |
Summary: | The purpose of this paper is the conceptualisation of the notion of enterprises’
structural power. It allows to draw the attention to the process of diversification
of enterprises and building of complex and multidimensional
ownership structures as possible sources of the increase in the companies’
power and the possibility of its use and abuse in order to limit the competition
and perform better on the market. The concept of structural power
is a part of the scientific discussion on the sources and possibilities of using
enterprises’ market power, and fits into the current research on one of
the fundamental problems of economic theory: how to protect competition
internationally and, therefore, determine the limit when the natural
and desirable behaviour of enterprises aimed at increasing their international
competitiveness begins to distort competition and adversely affect
economic development. The analysis shows that the potential influence
on other market participants may arise not only from the firm’s position
on the relevant market and other factors related to its specificity, but also
from the various types of linkages between firms. |
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ISSN: | 1581-6311 1854-6935 |