Investor Presentaiton
IIFET 2012 Tanzania Proceedings
Analytical Techniques: Descriptive statistics such as frequency and percentage were used to
analyze the socio-economic characteristics of the artisanal fish marketers and problems facing
them. Budgeting analysis such as gross margin, net return and marketing margin analysis were
used to analyze the profitability of artisanal fish marketing in the study area. Concentration ratio,
Gini-coefficient, Lorenz curve and Herfindahl index were used to measure the market structure.
Operational efficiency was also used to analyze efficiency growth. The gross margin is
mathematically presented as
Gross Margin Analysis (GM) = TR - TVC
where GM-Gross Margin,
TR=Total Revenue,
TVC=Total Variable Cost.
(Eq. 1)
Net returns is also given as;
Net Returns = TR - TC
where TR=Total Revenue,
TC Total Cost.
The measures of market structure are presented as follows;
Concentration ratio CR; :
-
==
Σ(;)
1
n
Σ (S.)
Where, CR; Concentration ratio for first i firms
=
S; Share of the largest i firms in the industry
=
Sn Share of the n firms in the industry
i = 1,2,3,...,n
n =
= number of respondents.
n
Herfindahl index (HI) = Σ(S;)
where i=1,2,3,...,n,
n=number of respondents,
i=1
S= share of firm in the industry.
A
Gini-coefficient G
=
(A+B)
(Eq. 2)
(Eq. 3)
([8]; [9]; [3])
(Eq. 4)
(Eq. 5)
A = Area that lies between the line of equality and the lorenz curve
A+B= Total area under the line of equality
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