The Fast-food Segment of the Restaurant Industry
A newer approach to measuring market concentration, however, is the Herfindahl-Hirschman Index (HHI) that is used by the United States Department of Justice in making antitrust determinations.

The results of the statistical analyses supported the hypothesis. The larger firms in the industry, as indicated by the support of the hypothesis, dominate the industry because they are more efficient. This finding is consistent reports in the literature of the application of the Demsetz hypothesis to industry analyses.

1 Introduction .................................... 1

Statement of the Problem ........................ 2

Purpose and Significance of the Problem ......... 4

Background on the Fast-Food Segment of the

Restaurant Industry and Its External

Environmental Conditions ....................... 4

Overview of the Remainder of the Study .......... 15

2 REVIEW OF RELATED LITERATURE .................... 17

Theoretical and Conceptual Literature ........... 17

Market Structure ............................. 17

Antitrust Concerns ........................... 32

Elasticity of Demand ......................... 38

Productivity ................................. 44

Literature Review Summary ....................... 53

3 METHODOLOGY ..................................... 54

Research Design ................................. 54

 
 
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