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In this paper, we design a theoretical model to analyze the impact of the number of firms on investment in the wireless … communications industry. Our model extends the Salop’s framework by introducing investment in quality that either reduces the … their incentives to invest in quality. The impact on the aggregate industry investment can be non-monotone. These …
Persistent link: https://www.econbiz.de/10011421623
The optimal market structure in the mobile industry is an important topic in the mobile industry. In this paper, we use two theoretical frameworks and a structural estimation approach to assess the effects of market structure on consumer surplus in symmetric mobile markets. When mobile services...
Persistent link: https://www.econbiz.de/10011603514
In this paper, we design a theoretical model to analyze the impact of the number of firms on investment in the wireless … communications industry. Our model extends the Salop's framework by introducing investment in quality that either reduces the … their incentives to invest in quality. The impact on the aggregate industry investment can be non-monotone. These …
Persistent link: https://www.econbiz.de/10011445895
This paper empirically assesses the impact of the intensity of competition on investment in new technologies within the …-U relationship between competition intensity and investment. The intermediate level of competition intensity that maximizes … investment stands at 62 percent, whereby competition intensity is measured by 1-Lerner index at the firm level. This means that …
Persistent link: https://www.econbiz.de/10010958830
This paper empirically assesses the impact of the intensity of competition on investment in new technologies within the …-U relationship between competition intensity and investment. The intermediate level of competition intensity that maximizes … investment stands at 62 percent, whereby competition intensity is measured by 1-Lerner index at the firm level. This means that …
Persistent link: https://www.econbiz.de/10010397810
This paper empirically assesses the impact of the intensity of competition on investment in new technologies within the …-U relationship between competition intensity and investment. The intermediate level of competition intensity that maximizes … investment stands at 62 percent, whereby competition intensity is measured by 1-Lerner index at the firm level. This means that …
Persistent link: https://www.econbiz.de/10010395722
The impact of market structure on investment is an important topic in the mobile industry. However, previous literature … mobile operators to investigate its impact on investment, taking into account market share asymmetry and the adjustment cost … of investment. The empirical analysis is backed by a theoretical model that introduces vertical differentiation in a …
Persistent link: https://www.econbiz.de/10013003373
We study the dual relationship between market structure and prices and between market structure and investment in …. Furthermore, they also lead to higher investment per mobile operator, though the impact on total investment is not conclusive. Our …
Persistent link: https://www.econbiz.de/10011659539
This paper investigates the relationship between competition and investment in the wireless industry from a dynamic …-U shaped, with an investment maximising intensity of competition at 60 or 63 percent, depending on whether capital expenditures … are normalised by the number of subscribers. This finding means that investment increases with competition as long as …
Persistent link: https://www.econbiz.de/10013006589
We develop a model of competition in prices and infrastructure among mobile network operators. Consolidation can increase market power, but economies of scale, which we derive from physical principles, lead to more efficient data transmission. Estimating our model with French consumer and...
Persistent link: https://www.econbiz.de/10014353392