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Industrial structure and ownership

Industrial structure and ownership

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This chapter discusses the industrial structure and ownership in telecommunication network involving market liberalisation, privatisation, service quality under privatisation, and vertical or horizontal integration for the local telecommunication service provider. Liberalisation is an umbrella term used for the introduction of competition into product and service markets by relaxing entry restrictions, and into capital markets by privatisation. Privatisation and deregulation became widespread in many industries all round the world; telecommunications was among the privatisation leaders, but usually not the first. By the end of 1996, privatisations in around 40 countries had raised some $US 140 billion. The term privatisation covers a range of ten positions in the shift from full state to full private ownership. Private monopolies have sometimes been under greater pressure to improve standards, especially if the regulator becomes actively interested. By having power over the company, the regulator may become its most important customer for quality improvement.

Inspec keywords: privatisation; telecommunication networks; telecommunication services

Other keywords: world telecommunications economics; service quality; market liberalisation; privatisation; industrial structure; telecommunication network; local telecommunication service provider

Subjects: Telecommunication applications

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