Journal of Korean Institute of Industrial Engineers (대한산업공학회지)

Korean Institute of Industrial Engineers (대한산업공학회)
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An Empirical Study on the Advantages of LTE First Movers in Mobile Telecommunications Service

이동통신 LTE 시장에서의 선발사업자 우위효과에 대한 실증연구

  • Jun, Soo-Yeon (Economics and Management Research Laboratory, KT) ;
  • Jeong, In-Jun (Department of Business Administration, Daegu University)
  • Received : 2014.05.09
  • Accepted : 2014.07.02
  • Published : 2014.10.15
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Abstract

An explosive expansion of the use of smart devices such as smart phones and tablet PCs in mobile telecommunications service is bringing about a steep increase of mobile traffic volumes. Mobile network operators or telcos are introducing the $4^{th}$ generation LTE network, which handles traffics more efficiently, to respond such enormously increasing traffics. Meanwhile, it is wondered how LTE contributes to raising a competitive edge of telcos. This paper aims at empirically testing whether the first mover of LTE acquired its competitive advantages. In this paper, we analyzed a number of telcos of 10 major countries. As a result, it turned out that there is no first mover's advantages, that is, the first mover did not have any competitive advantages in market share, profitability, and so on.

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