anyone recall the question to calculate the HH Index for 3 firms with all provides high nubmers. like 3,000 million. When adding all three squared numbers, none of the answer choices is match. For the measure of dispersion, what do u pick? variance, standared dev. , cv, MAD. I forgot the exact question, but I picked MAD.
You had to calculate the market shares first…then find the HHI The answer for the 2nd one was CV
WOOOHOOO on CV! I struggled with that one. Nirjraina, you see like you did pretty well! I don’t remember what i put for HH but I do remember needing to figure out the market shares and still not getting the right answer.
HH one was like 4000 something.
What can I say…I’ve been blessed with a 9 to 5 job and a fiancee thats been living 8000 miles away for the last 6 months 
P.S. I’m on my 3rd vodka cranberry and I’m sitting here compulsively hitting refresh…so I definitely need to get my life in order soon !!
As I remember it, the information given was for the industry as a whole. i.e 3 firms in the industy. So I used: Number of Equivalent Firms in the Industry = 1/(HH Index) Therefore 3 = 1/HH => HH = 33.33%
but there is no answer for 33.33%, i think the answer is range from 3000-6000.
Sorry - I meant 33.33% of the total sales. I’d converted them into %ges to try and give me some sort of clue.
add them up and find their market share square it and add them up to find HHI
Two methods of showing HH index. Sum all the squares of the percentages (i.e. the final results will be < 1) or sum all the squares of the values of the percentages (i.e., all the results will be between 0 and 10,000, inclusive on the upper boundary). Between 1800 and 10,000 = oligopoly or monopoly Between 1200 to 1800 = moderately competitive (?) Between 0 to 1200 = very competitive. Not 100% sure of the ranges, but i think it’s something like that
nirjraina Wrote: ------------------------------------------------------- > What can I say…I’ve been blessed with a 9 to 5 > job and a fiancee thats been living 8000 miles > away for the last 6 months > > P.S. I’m on my 3rd vodka cranberry and I’m sitting > here compulsively hitting refresh…so I > definitely need to get my life in order soon !! You said you were in UAE, then Vodka/alcohol ???
yep !! guys I know I said I won’t read threads anymore cause u r freaking me out but hell it’s good to see that I got the same answer
Dude the streets are running with booze here…you can pick up a bottle for Absolut for $12 at the Dubai duty free!
exactly, just find the weights of each amount.
ughhh i hope i guessed the right answer for the HH one…i put standard deviation for the 2nd question?? i rmr doing a q-bank practice question for that one…or similar type.
was the value in 3000s ??? like 3500 something
- I think I chose the answer for 45xx 2) CV for me.
- for HHI i did market share, divided each by total, then add up the squared market shares, i forget what exactly was the answer… 2) i think i put CV i was torn on that one I hope i did put CV
I don’t remember what i got for HH I think the percentage was 47%, 12% and 41%… So I just did 47^2 + 12^2 + 41^2 to get the answer. I was stuck on that question for a second. Cuase usually the H-index meant you want the reciprical but apparently not in this case. And I picked CV for #2…standard deviation did not make sense because if the average value is high then the standard deviation will also be high. It is the relativity of standard deviation and average value that matter. Thus CV.