Mani Asvadi Kermani - Department of Accounting, University of Tehran, Aras Branch, Jolfa, Iran
Arash Tahriri - Assistant Professor, Department of Accounting, University of Tehran, Aras Branch, Jolfa, Iran

The aim of current study is to investigate the relationship between product competition structureand dividend policy in the companies registered at Tehran Stock Exchange. Statistical populationof present study involves 94 companies registered at Tehran Stock Exchange between the years2008 to 2013. Three indexes of Herfindahl Hirschman, Lerner Index and ability to substitutegoods were used to evaluate competition. Dividend ratio to dividends was used to evaluatedividend policy. Research hypothesis test method was data panel method and researchhypothesis was tested using multiple regression. Results of current study revealed that there is asignificant relationship between Herfindahl-Hirschman index and dividend policy, but there is nosignificant relationship between other variables and dividend policy.

competition structure in the product market, dividend policy, Herfindahl Hirschmanindex, Lerner index, products’ substitutability