Advertising, Researching and the Dynamic of Competition in the Iranian Industries: Seemingly Unrelated Regression Approach

Document Type : Research Article

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Abstract

This paper focuses on the relationship between structural variables and market behavior for a sample of 141 four-digit industries during 1374-1388 in Iran. For this purpose, the system of equations consists of the Dynamics of Competition, Researching intensity and Advertising intensity applied.  The Seemingly Unrelated Regression Estimation (SURE) method in the Pane Data is used to estimate the parameters of the models. 
   Results show that Researching intensity and Advertising intensity have a positive and significant effect on the Dynamics of Competition in the Iranian industries and the effect of Advertising intensity is more than Researching intensity. Moreover the interrupted value of the dynamics of competition is interrupted for a significant positive effect on the dynamics of competition in the industries in Iran that represent the dynamic effects of this variable in Iran. According to industry research and Trying to marketing and selling industrial products is helping to enhancing competitiveness in the Iranian industries.        

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