Understanding market competition in the second-hand car industry in Pekanbaru City: an SCP perspective
DOI:
https://doi.org/10.30871/jaba.12141Keywords:
Structure, Conduct, Performance, Second-hand Car Industry, PekanbaruAbstract
This study analyzes the structure, conduct, and performance of the second-hand car industry in Pekanbaru City using the Structure–Conduct–Performance (SCP) framework. A quantitative approach is applied to examine market structure, firm behavior, and performance dynamics within the industry. The research employs a sequential explanatory design, adopting a mixed-methods approach that integrates qualitative and quantitative methods. Primary data were obtained through in-depth interviews with owners of second-hand car showrooms, complemented by secondary data obtained from academic literature, books, and official sources. The sample consists of 80 respondents, selected based on showroom observations using Google Maps. The results reveal that the second-hand car industry in Pekanbaru is characterized by a monopolistic competition market structure. Effective business conduct plays a crucial role in achieving competitive advantage, particularly through strategic pricing, product differentiation, vehicle selection, and service quality. Competition within the industry remains dynamic, and firms that are able to identify market conditions and competitors’ behavior through the SCP framework are more likely to improve performance and maintain long-term competitiveness.
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