What are the Market Types and Barriers to Entry for the Brick Industry in Bireuen Regency, Province of Aceh?: Emperical evidence based on the SCP approach and CR4 Analysis

Authors

  • Mukhlis Mukhlis The lecturer at Universitas Almuslim, Bireuen, Indonesia
  • Musrizal Musrizal The lecturer at Universitas Almuslim, Bireuen, Indonesia
  • Nova Nova The lecturer at Universitas Almuslim, Bireuen, Indonesia
  • Nailul Akbar The lecturer at Universitas Almuslim, Bireuen, Indonesia
  • Irfan Irfan The lecturer in STIE Lhokseumawe, Aceh, Indonesia

Keywords:

market, brick industry, SCP, CR4

Abstract

The brick industry business in Bireuen Regency is located in 2 (two) sub-district areas, Peusangan production centers, namely; Peusangan and Kota Juang. The brick industry in this area is generally privately owned. The widespread growth of this type of business is a concern for observation and research. The aim of this research is to highlight the market types that apply to the brick manufacturing industry and the level of barriers to entering the market in Bireuen Regency. The research was conducted using experimental-based primary data obtained from 113 manufacturing industries spread across the regions of Peusangan Subdistrict and Kota Juang Subdistrict. The methods and data analysis used are Structure-Conduct-Performence (SCP) and Concentration Ratio for the Biggest Four (CR4) analysis to explain the market competition situation. The findings indicate that the type of brick industry market in Bireuen Regency is a monopolistic market with a relatively low level of barriers to entry for new manufacturing industries. Where there is no manufacturer that has a market share of more than 5 percent.This allows the brick making industry to develop more widely, especially in the Bireuen Regency area, Province of Aceh.

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Published

2024-01-31