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Productivity change and its determinants among leading mobile operators in Europe

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  • Belen Usero
  • Grigorios Asimakopoulos

Abstract

The European mobile telecommunications industry has seen increased competition and market saturation in recent years, so improving productivity will become crucially important for mobile operators in the near future. This study adopts a bootstrap Malmquist index approach to estimate productivity change among a sample of 23 of Europe's leading mobile operators over the 2008 to 2009 period. Using a second-stage regression, this article also analyses the determinants of productivity changes in terms of regulation, competition and ownership structure. The results show that mobile companies operating in countries that have recently joined the EU have a positive association with productivity change, in contrast to their counterparts in South-East Europe. Concerning market competition, the leading mobile operators that experience higher productivity changes operate in more concentrated markets. The results also indicate that international mobile operators perform better in terms of productivity change than their national equivalents. Finally, some of the implications of the findings for mobile operators’ management and policymakers are provided.

Suggested Citation

  • Belen Usero & Grigorios Asimakopoulos, 2013. "Productivity change and its determinants among leading mobile operators in Europe," Applied Economics, Taylor & Francis Journals, vol. 45(20), pages 2915-2925, July.
    • Handle: RePEc:taf:applec:v:45:y:2013:i:20:p:2915-2925
    DOI: 10.1080/00036846.2012.687100
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    Cited by:

    1. Oredegbe, Abayomi & Zhang, Yahua, 2020. "Telecommunications industry efficiency: A comparative analysis of high and middle income countries," Telecommunications Policy, Elsevier, vol. 44(5).
    2. Asimakopoulos, Grigorios & Whalley, Jason, 2017. "Market leadership, technological progress and relative performance in the mobile telecommunications industry," Technological Forecasting and Social Change, Elsevier, vol. 123(C), pages 57-67.
    3. Karamti, Chiraz, 2019. "Lopsided effects of telecom reforms on mobile markets in the enlarged EU: Evidence from dynamic quantile model," Telecommunications Policy, Elsevier, vol. 43(3), pages 238-261.
    4. Bielov, Constantine & Mitomo, Hitoshi & Hämmäinen, Heikki, 2022. "Efficiency frontier of OECD MNOs: Multinational vs Domestic," Telecommunications Policy, Elsevier, vol. 46(5).

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