The main purpose of this study is to investigate how regulation, competition, governance structure, and business diversification strategy affect the cost structure of firms. By using 358 observations comprised of public utility firms and manufacturing firms from 1989 to 2002, we estimate the...

The main purpose of this study is to investigate what kind of internal and external factors most affect a firm' s costs. We consider governance structure and business diversification strategy as internal factors and regulation and competition as external factors. By using 358 observations...