A More Representative Approximation for Industry Concentration in European Countries by Using Orbis

We've developed a comprehensive, nationally representative dataset incorporating subsidiary level and segment level data for European countries, sourced from the Orbis database's financial statements. Our data's reliability is confirmed through theoretical validation and by contrasting our results with those obtained from prior methods. This research underscores the significance of delving into subsidiary level and segment level data to figure out the trends of industry concentration. Our refined approach reveals a notable increase in the concentration of Europe's manufacturing industry over the past decade. Specifically, our findings indicate a consistent rise in CR4, CR8, CR20, and HHI metrics across Europe. Furthermore, our analysis highlights that foreign companies's Europe segment command a significant portion of the market share within Europe's manufacturing sector, which shouldn't be ignored.