Competition and regulation in China's 3G/4G mobile communications industry—Institutions, governance, and telecom SOEs
Jun Xia
Telecommunications Policy, 2012, vol. 36, issue 7, 503-521
Abstract:
When it comes to the analysis of the intrinsic mechanism of market behaviors and hence competition development and regulatory imperatives in the Chinese telecommunications industry, currently there is no consistent pattern offered in the literature. In China's emergent 3G/4G era, market behaviors can be affected by various institutional factors, along with various forms of informal forces, which may translate into different implications for competition regulation. Based on extensive archival research and interview, this current study aims to bridge the gap by following an interpretive approach. An input–output model was substantiated for pattern-matching in the Chinese context base on the postulation of a series of propositions and hence Industry-Gray-Box. Accordingly, two categories of market behaviors, that is, market-driven vs. institutions-driven, were arguably delineated as being underpinning the competition development. Policy implications and future reform imperatives were discussed. This study may advance knowledge in terms of: (1) the establishment of a relatively consistent pattern for mapping the landscape of China's communications industry; (2) the substantiation of the inner working mechanism of China's SOE system in the telecommunications sector; and (3) original first attempt in identifying different roles of telecom SOEs and the governing forces that affect them. The paper also offers extensive and cohesive insights on China's formal and informal institutional environment in general and for telecommunications in particular. Measurements developed in this study may serve as basis for future study.
Keywords: Third-generation-mobile (3G); Competition regulation; State-owned-enterprises (SOEs); Institutions; Governance; Evolution (search for similar items in EconPapers)
Date: 2012
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DOI: 10.1016/j.telpol.2011.11.026
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