Question
The cereal industry is comprised of four brand leaders; General Mills, Kelloggs, Post and Quaker Oats, each with 21% of the total market share. The
The cereal industry is comprised of four brand leaders; General Mills, Kelloggs, Post and Quaker Oats, each with 21% of the total market share. The other firms in the market are Nabisco, Ralston, and a generic company, with market shares of 10%, 3%, and 3%, respectively.
(a) Calculate the CR4 and HHI for the cereal industry.
(b) Now suppose that the smallest 3 firms decided to merge into a new company called Chocolatey Delicious Sugar Bombs. Calculate the CR4 and HHI for this new market composition.
(c) Given your findings in parts (a) and (b), what limitations do you find for the concentration ratio measure and why?
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Analysing The Value Proposition Of The Audit Process In Africa The Case Of Malawi
Authors: Daniel Dunga
1st Edition
3659166286, 978-3659166280
