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Thai) 1:
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The solid lines show the causal links as originally posited in the economic literature, running from structure to conduct and performance. However, the more recent formulation of the model does not deny the possible influence of conduct and performance on structure, thereby allowing its endogenous determination. In this respect conduct, where it embodies the actions of managers and employee in firms, reflects the importance which institutional economics attaches to the influence of human behavior on outcomes. Therefore, later considerations of SCP analysis suggest, as indicated by the broken lines in table, that not only performance and conduct, but also public policy, affect market structure. For example, deregulation has influenced the conduct and performance of airlines, bus and coach companies and, with the passage of time, their market structure and trends towards concentration emerged.thereby allowing its endogenous determination.
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