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Organization Studies
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Decreasing Concentration and Reversibility of the Resource Partitioning Process: Supply Shortages and Deregulation in the Bulgarian Newspaper Industry, 1987-1992

Stanislav D. Dobrev

Graduate School of Business, University of Chicago, USA

This paper examines the effect of decreasing industry concentration on organizational diversity and on the choice of positional strategies in the population of Bulgarian newspaper enterprises between 1987 and 1992. The results of the exit rate analysis of specialist organizations in a period of resource depletion confirm the reversibility of the resource partitioning process. In the case of post-socialist foundings spurred by deregulation, decreasing overall industry concentration is interpreted to conceal increasing concentration at the sub-industry level and points to the emergence of a second market centre. The formation of such polycentrist resource space accounts for the unexpected effect of overall diminishing industry concentration, which deters the entry of generalists and favours the start-up of specialists.

Key Words: organizational ecology • resource partitioning • post-socialist transition • Bulgarian newspapers

Organization Studies, Vol. 21, No. 2, 383-404 (2000)
DOI: 10.1177/0170840600212004
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