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(Revised from original 2002 version)
The Newsprint Industry
Describes the 1990s consolidation on the newsprint industry. Questions whether consolidation will ever deliver on its promise. Whereas some industry observers maintain that the effects of consolidation are already visible, others argue that further consolidation is necessary. Others, however, claim that because newsprint is a commodity and firms compete on the basis of price, consolidation will not restore industry profitability. Data to build individual firm and industry supply curves for 2001 is available upon further request. Illustrates the transition from a perfectly competitive industry (demand and supply) to oligopolistic competition (Porter's five forces).
Keywords: Five Forces Framework;
Duopoly and Oligopoly;
Pulp and Paper Industry;
Casadesus-Masanell, Ramon, Nabil I. Al-Najjar, and James Pyke. "The Newsprint Industry." Harvard Business School Case 703-404, March 2010. (Revised from original November 2002 version.)