In 1990s Mattel proposed acquiring Fisher-Price for $1.2 billion. At the time, Mattel was a major player in the toy industry with 11 percent of the market. Fisher-Price had 4 percent. The other two large firms were Tyco, with a 5 percent share, and Hasbro, with a 15 percent share. Assume all other firms in the industry had 1 percent of the market each. What were the approximate Herfindahl and four-firm concentration ratios for these industries?
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In 1990s Mattel proposed acquiring Fisher-Price for $1.2 billion. At the time, Mattel was a major pl...
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