This paper examines, from the perspective of the structure-conduct-performance (S-C-P) paradigm, the structural factors that determine R&D concentration in industries. The results are as follows. First, an industry’s R&D concentration is directly related to its market concentration, R&D intensity, capital intensity, and technological opportunities. In contrast, the higher an industry’s performance, the more likely the diffusion of R&D investment is for firms belonging to that industry. Second, an industry’s R&D concentration has a positive effect on its market concentration but a negative effect on its performance, suggesting that governments should adopt R&D policies that would induce more firms to invest in R&D instead of focusing only on a few firms to enhance industry performance.

1. Introduction
 2. Literature Review and Research Hypotheses
  2.1 The Concept of Industry R&D Concentration
  2.2 Determinants of Industry R&D Concentration
 3. The Sample and the Research Model
  3.1 The Sample
  3.2 The Empirical Model
 4. Empirical Results
  4.1 Descriptive Statistics and Correlation Analysis
  4.2 Results from Empirical Analysis
 5. Conclusions and Policy Implications
 References

• Young-Gon Cho(상명대학교 국제통상학과) | 조영곤
• Hyuk-Seung Shin(숙명여자대학교 경제학부) | 신혁승
• Won-Sik Sul(숙명여자대학교 경영학부) | 설원식 Corresponding Author