Browse > Article

The Trend of Competitive Structure in Telecommunications Industry : The Case of Voice Fixed and Mobile Service  

Kim, Moon-Soo (한국외국어대학교 산업경영공학부)
Kim, Byung-Woon (한국전자통신연구원, 기술전략본부)
Abstract
The remarkable growth of Korean telecommunication market has based on the introduction of competition as well as mobile technology like CDMA. It was well Down that such a conspicuous growth has been towed by mobile service rather than fixed telephone service. In telecommunications service the number of subscribers to mobile was over 40 millions in 2006 and also, while the traffic amount of fixed telephone has been more decreased, that of mobile, which already outnumbers the fixed, has been constantly increased and will be much more in future. It will accelerate the substitution of access and call demand of fixed service by mobile. This change of technology and demand does affect directly the market performance of telecommunications. And regulation has also an effect on market structure, which finally affects on market performance. In this paper we suppose the fixed and mobile telecommunications services are in a same industry. After reviewing the relations among the demand, cost, charge structure and revenue structure in the one fixed and mobile telecommunications market using the framework of an industrial structure analysis, we discuss the current issues of telecommunications regulation and implications for the future regulation.
Keywords
fixed and mobile service; market performance; demand; cost; charge; industrial structure analysis; regulation;
Citations & Related Records
연도 인용수 순위
  • Reference
1 Bain, J.S., Industrial Organization, Wiley, New York, 1959
2 Byeon J.W., H.T. Ahn, J.H. Lee, N.S. Kim, S.K. Lee and J.J. Kim, A Econometric Analysis on the Fixed-Mobile Phone Substitution, KISDI, Seoul, 2003
3 Mason, E., 'Price and Production Policies of Large-scale Enterprise,' American Economic Review, 29, pp.61-74, 1939
4 Porter, M.E., 'The Contributionsof Industrial Organization to Strategic Management,' Academy of Management Journal, 4. pp.609-620, 1981
5 Rodini, M. M.R.Ward and G.A. Worochl, 'Going Mobile: Substitutability between Fixed and Mobile Access', Telecommunications Policy 27, pp. 457-476, 2003   DOI   ScienceOn
6 Sung, N. and Y.H Lee, 'Substitution between Mobile and Fixed Telephones in Korea,' Review of Industrial Organization, 20, pp.367-374, 2002   DOI
7 LG telecom, IR materials, avialiable on http://www.lgtelecom.com/, 1999-2006
8 Robinson, K.C. and P.P. Mcdougall, 'The Impact of Alternative Operationalizations of Industry Structural Elements on Measures of Performance for Entrepreneurial Manufacturing Ventures,' Strategic Management Journal, 19, pp.1079-1100, 1998   DOI   ScienceOn
9 Ahn, H.T. and J.H. Lee, 'An Analysis of Fixed-Mobile Call Substitution,' Telecommunications Review, 14(2), pp.281-291, 2004
10 Yu, L., S. Berg and Q. Guo, 'Market Performance of Chinese Telecommunications: New Regulatory Policies,' Telecommunications Policy, 28, pp.715-732, 2004   DOI   ScienceOn
11 Jin, D.Y., 'Political and Economic Processes in the Privatization of the Korea Telecommunications Industry: A Case Study of Korea Telecom, 1987-2003,' Telecommunications Policy, 30, pp.3-13, 2006   DOI   ScienceOn
12 Kang, I.G. and H.S. Kim, 'An Analysis on Relation between Market Structure and Performance of Mobile Service,' Information & Telecommunications Policy, 17(8), pp.28-50, 2005
13 Porter, M.E., Competitive Strategy: Techniques for Analyzing Industries and Competitors, New York: Free Press, 1980
14 Bain, J.S., Barriers to New Competition, Harvard Univ. Press, Cambridge, MA, 1956
15 SK telecom, IR materials, available on http://www.sktelecom.com/, 1996-2006
16 Ward, M.R and Woroch, 'Usage Substitution between Fixed and Mobile Telephony in the US', ITS 15th Biennial Conference, Berlin Germany, 2004
17 Tirole, J., The theory of industrial organization, MIT press, 1988
18 Hanaro telecom, IR materials, availableon http://www.hanaro.com/ , 1999-2006
19 Choi, S.K., 'Asymmetric Regulation Under Fixed Mobile Convergence: Fair Competition or Managed Competition?,' Korea, 11(1), pp.1-23, 2004
20 KISDI, An Estimation of Total Traffic and Call Type Traffic. KISDI, Seoul, 2003
21 Park, T.W and S.Y. Jun, 'Improving Direction on Institute of TelecommunicationsServices and Operators Classification,' KISDI Issue Report 2007-10, KISDI, 2007
22 Sung, N. and M.C. Kim, 'A Study on the Substitution between Long-Distance and Mobile Telephone Calls in Korea,' Kukje Kyungje Yongu. 8(3), pp.227-247, 2002
23 Chang. S.J., Strategic Management in the Age of Global Competition, Pakyoungsa, 1996
24 Lee, J.H., S.K. Lee, J.W. Byun, N.S. Kim and J.J. Kim, An Analysis on Substitution between the Fixed and Mobile Telephone, KISDI Issue Report 2004-2, KISDI, 2004
25 KT, IR materials, available on http://www.kt.com/ , 1999-2006
26 KTF, IR materials, available on http://www.ktf.com/ , 1999-2006