Abstract:
This paper provides a comprehensive analysis of the oligopoly formed by Suzuki,
Kawasaki, Yamaha, and Honda in the motorbike industry. Our study reveals that Honda leads
the market as a pioneer, introducing new technologies and releasing new models. The
oligopoly controls market pricing by charging similar prices, although slight differentials
suggest the presence of pricing discrimination. Furthermore, evidence demonstrates that these
four companies engage in cooperative and competitive behaviours to sustain a thriving market.
In conclusion, the oligopoly theory serves as an adequate explanation for the dynamics
of global markets, including the motorbike industry. The presence of a few dominant firms in
the Japanese market raises questions regarding the prevalence of collusion or competition as
the prevailing dynamic. This paper seeks to provide insights into the nature of the Japanese
motorcycle market and the strategies employed by the four companies to maintain their
competitive positions. Ultimately, our study contributes to a better understanding of the
importance of this oligopoly and its impact on the motorbike industry.
