Static or dynamic efficiency : horizontal merger effects in the wireless telecommunications industry

Michal Grajek (ESMT European School of Management and Technology), Klaus Gugler (Vienna University of Economics and Business), Tobias Kretschmer (Ludwig Maximilian University of Munich), Ion Miscisin (University of Vienna)

This paper studies five mergers in the European wireless telecommunication industry and analyzes their impact on prices and capital expenditures of both merging carriers and their rivals. We find substantial heterogeneity in the relationship between increases in concentration and carriers' prices. The specifics of each merger case clearly matter. Moreover, we find a positive correlation between the price and the investment effects; when the prices after merger increase (decrease), the investments increase (decrease) too. Thus, we document a trade-off between static and dynamic efficiencies of mergers.

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Year of publication:	December 19, 2017
Authors:	Grajek, Michał ; Gugler, Klaus ; Kretschmer, Tobias ; Miscisin, Ion
Publisher:	Berlin, Germany : ESMT European School of Management and Technology
Subject:	Telecom mergers \| static and dynamic efficiency \| difference-in-difference \| Fusion \| Merger \| Effizienz \| Efficiency \| Telekommunikationssektor \| Telecommunications industry \| Theorie \| Theory \| Horizontale Integration \| Horizontal integration \| Telekommunikation \| Telecommunications \| Telekommunikationspolitik \| Telecommunications policy

Extent:	1 Online-Ressource (circa 31 Seiten) Illustrationen
Series:	ESMT working paper. - Berlin : [Verlag nicht ermittelbar], ISSN 1866-3494, ZDB-ID 2499418-2. - Vol. 17, 04
Type of publication:	Book / Working Paper
Type of publication (narrower categories):	Graue Literatur ; Non-commercial literature ; Arbeitspapier ; Working Paper
Language:	English
Other identifiers:	hdl:10419/174875 [Handle]
Classification:	L22 - Firm Organization and Market Structure: Markets vs. Hierarchies; Vertical Integration ; O33 - Technological Change: Choices and Consequences; Diffusion Processes ; G34 - Mergers; Acquisitions; Restructuring; Corporate Governance ; L96 - Telecommunications
Source:	ECONIS - Online Catalogue of the ZBW

Persistent link: https://ebvufind01.dmz1.zbw.eu/10011787933