Dilaton stabilization may occur in a theory based on a single asymptot
ically free gauge group with matter due to an interplay between quantu
m modification of the moduli space and tree-level superpotential. We p
resent a toy model where such a mechanism is realized. Dilaton stabili
zation in this mechanism tends to occur at strong coupling values unle
ss some unnatural adjustment of parameters is involved. (C) 1998 Elsev
ier Science B.V.