The Influence of FDI on the Market Structure of the Port Industry

Rong Wu; Min Tu

doi:10.4028/www.scientific.net/AMM.590.895

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The Influence of FDI on the Market Structure of the Port Industry

Abstract:

To study the influence of foreign direct investment on market structure, the paper presented a regression model based on the relevant time series data of foreign direct investment stock on the market structure of ports in China during the period of 1991 to 2011. By Cointegration Granger causality testing of foreign direct investment stock and market concentration of the Chinese port industry, we find significant influence of foreign direct investment on the market concentration of the port industry. At the same time while the inflows of FDI increase market concentration, they also further diversify the concentration and increased competition in the port regions studied.