The impact of international oil prices on petroleum industry concentration in China: an analysis based on convergence and cointegration
by Shuangying Wang; Qunwei Wang; Chuanxian Han; Peifeng Zhu; Wenchao Zuo
International Journal of Global Energy Issues (IJGEI), Vol. 38, No. 1/2/3, 2015

Abstract: Industry competition analysis is an important aspect of the study of competitive advantage and competition strategy. Convergence analysis is an effective approach to describing industry competition dynamics and was employed in the current study to investigate the influence of oil prices on the concentration of the petroleum industry. It was found that industry concentrations in this context had no significant σ-convergence and absolute β-convergence. By introducing international oil prices as the influence index, this research found that petrochemical industry concentration had significant β-convergence, while the international oil price increases made the trends of the convergence diminish. Through co-integration analysis, it was also found that, over the long-term, compared with petroleum processing and the chemical fibre industry, the competition environment of the plastic products industry has gradually improved; however, the rise in international oil prices is likely to reduce the bargaining power of the plastic products industry.

Online publication date: Mon, 18-May-2015

The full text of this article is only available to individual subscribers or to users at subscribing institutions.

 
Existing subscribers:
Go to Inderscience Online Journals to access the Full Text of this article.

Pay per view:
If you are not a subscriber and you just want to read the full contents of this article, buy online access here.

Complimentary Subscribers, Editors or Members of the Editorial Board of the International Journal of Global Energy Issues (IJGEI):
Login with your Inderscience username and password:

Username:        Password:          Forgotten your password?

Want to subscribe?
A subscription gives you complete access to all articles in the current issue, as well as to all articles in the previous three years (where applicable). See our Orders page to subscribe.

If you still need assistance, please email subs@inderscience.com