ABSTRACT
recovery from the short-lived slump in 1921 was rapid and continuous; by 1929 annual output of cars alone had trebled to total 182,000. For the first time in the history of the industry, the expansion was accompanied by a major reduction in the number of firms. The number of new entrants was reduced to a handful while, at the same time, over sixty companies were forced out of the industry. Clearly, a new factor had been introduced, one which favoured the concentration of production and discouraged firms from entering the industry. In short, for a few firms mass production had begun. The effect of this on the industry structure is shown in Table II, which is based on the number of manufacturers exhibiting at the annual Motor Shows. Estimated Number of Entries into and Exits from the Motor-car Industry
|
Date |
Entries Since Previous Date Examined |
Exits Since Previous Date Examined |
Number of Firms |
|---|---|---|---|
|
1897 |
— |
— |
9 |
|
1902 |
46 |
5 |
50 |
|
1913 |
35 |
37 |
48 |
|
1919 |
35 |
13 |
70 |
|
1922 |
37 |
19 |
88 |
|
1929 |
5 |
62 |
31 |
|
1933 |
2 |
9 |
24 |
|
1938 |
3 |
5 |
22 |
|
1948 |
4 |
3 |
23 |
|
1956 |
1 |
4 |
20 |
