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effects and compatibility between networks. Network effects are measured by the dependence of consumer willingness to pay on … the installed base of subscribers. Compatibility is measured by the relative extent of cross- and own-network effects. I … network effects and - despite full interconnection of the mobile telephone networks - low compatibility. I also show that …
Persistent link: https://www.econbiz.de/10010357575
effects and compatibility between networks. Network effects are measured by the dependence of consumer willingness to pay on … the installed base of subscribers. Compatibility is measured by the relative extent of cross- and own-network effects. I … network effects and-despite full interconnection of the mobile telephone networks-low compatibility. I also show that ignoring …
Persistent link: https://www.econbiz.de/10012708171
Mobile telecommunication operators routinely charge subscribers lower prices for calls on their own network than for calls to other networks (on-net discounts). Studies on tariff-mediated network effects suggest this is due to large operators using on-net discounts to damage smaller rivals....
Persistent link: https://www.econbiz.de/10010443144
On mobile phone markets that have reached the maturity stage, customer recommendation becomes a critical focus for operators to attract subscribers from rival operators. Referral propensity is also an indicator of subscriber satisfaction and loyalty. The aim of this paper is to examine the...
Persistent link: https://www.econbiz.de/10013096721
The distinguishing feature of two-sided markets is that the pricing structure, that is, the relative prices charged to each side, matters. Regulators need to understand and account for the interdependence of prices in both sides. Some interventions that lower the prices on one side can result in...
Persistent link: https://www.econbiz.de/10013001054
Abstract In markets with competing interconnected networks like mobile telecommunication markets investments affect the investor’s and also any competitors’ profits. In a theoretical model it is shown that cost-reducing investments reduce the investor’s termination rates and increase...
Persistent link: https://www.econbiz.de/10010299497
This paper estimates demand elasticities for the Turkish mobile telecommunication market. In contrast to most other studies, firm level data is used to estimate dynamic panel data models including instrumental variable techniques. Both short- and long-run elasticities are calculated, yielding a...
Persistent link: https://www.econbiz.de/10010303799
We explore the existence of first mover advantages in mobile telecommunications markets. Building on a data set comprising monthly penetration rates, market concentration, number of active operators, and market shares of 90 followers from 33 OECD countries, we estimate a dynamic growth model....
Persistent link: https://www.econbiz.de/10010310635
This paper estimates the impact of entries and mergers on the price of mobile voice services in a panel database of 27 European Member States between 2003 and 2010. Our difference-in-differences econometric methodology exploits the variance in different structural changes between countries to...
Persistent link: https://www.econbiz.de/10011317118
This paper investigates the impacts of the current roaming rules on domestic competition and welfare. We consider a model for two countries in which each country has two operators that compete in the retail market for access services and also in the wholesale market for roaming. We first derive...
Persistent link: https://www.econbiz.de/10012804890