Basic Research on the Transformation of Market Structure

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First of all, data concerning the change in the industrial structure was collected. Though I inquired of various related groups regardless of the inside and outside Japan and examined material as far as I could do, I could not help judging, to my regret, that enough data (monthly data) does not exist to analyze changing the market structure in the statistically meaningful manner.Since the considerable time and the effort were used for the collection work of data, I had to put over theoretical model construction and concentrated only on the improvement of the simulation model. Up to now, I have introduced (1) a statistical physics technique that uses the transition probability to describe consumer behavior and (2) an algorithm of reinforcement learning to describe firm behavior.The following are regarded as future works :a)An important parameter concerning consumer's transition probability of changing firm to purchase goods is endogenized so as to be affected by the advertisement of firms.b)Learning processes of agents are introduced or refined so that they behave more intellectually (but in the boundedly rational manner).c)The branding strategy through an advertising investment etc. is incorporated.