@techreport{Muck2012First,
abstract = {We explore the existence of first mover advantages in mobile telecommunications markets. Building on a data set comprising monthly penetration rates, market concentration, number of active operators, and market shares of 90 followers from 33 OECD countries, we estimate a dynamic growth model. Our analysis delivers five key results. Regarding a follower's longrun market share, we observe that (1) the penetration rate at the time of market entry exerts an inverted u-shaped effect, suggesting the existence of an optimal time for issuing additional licenses for mobile network operation; (2) the concentration rate at market entry exerts a positive effect, implying that it is easier for followers to enter a more concentrated market; (3) both the number of active operators at market entry and the number of currently active operators have a negative impact. Furthermore, we find that a follower's rate of convergence to the long-run market share is (4) negatively influenced by the current market concentration and number of active operators; (5) negatively affected by changes in the penetration rate since market entry, which strongly indicates the presence of substantial first mover advantages for pioneering network operators.},
address = {D\"{u}sseldorf},
author = {Johannes Muck and Ulrich Heimeshoff},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
isbn = {978-3-86304-070-3},
keywords = {L96; K23; O33; 330; First mover advantages; Asymmetric regulation; Market share convergence; Mobile telecommunications; Mobilkommunikation; Markteintritt; Marktanteil; Sch\"{a}tzung; OECD-Staaten},
language = {eng},
number = {71},
publisher = {DICE},
title = {First mover advantages in mobile telecommunications: Evidence from OECD countries},
type = {DICE Discussion Paper},
url = {http://hdl.handle.net/10419/65677},
year = {2012}
}
