What is it about?
Market structure impacts investment in wireless industry. At firm level, more operators means less investment per firm. At industry level, in the long run, more firms may cause less investment in the industry. This depends on the number of firms and on the dysymmetry between firms. The higher the dissymmetry, the higher the investment at industry level.
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Why is it important?
Market structure and its impact on market outcomes is a hot topic, specifically in wireless industry where sectoral regulatory authorities have to give their agreement on mergers.
Perspectives
This paper highlights a point of view which is often overlooked.
Dr François H Jeanjean
Orange
Read the Original
This page is a summary of: Market structure and investment in the mobile industry, Information Economics and Policy, March 2017, Elsevier,
DOI: 10.1016/j.infoecopol.2016.12.002.
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