Quantitative Analysis of the Competitive Environment in the Electronic Communications Sector
The contribution is devoted to the problem of determining the degree of concentration in relation to indicators typical of the electronic communications sector. At present, concentration monitoring is very important. The reason is the significant impact of the incumbent on some relevant markets, which is not particularly desirable from the point of view of end-user protection or existing barriers to entry. So, this situation is primarily in the countries of Central and Eastern Europe, even though the market has been fully liberalized for several years. The rapid growth of technologies in this sector is a significant factor in the growth of concentration too.
An important part for the determination of “concentration ratio” is represented by models, methods and procedures for identifying absolute or relative concentration. They differ substantially in the way they take into account the number of subjects who are the carriers of the indicator under observation. Sectoral concentration analysis is conducted through indexes. They monitor the competitive behaviour of the entities operating on the relevant market. This analysis provides information on the structure of the market to regulators and makes recommendations for market regulation. The concentration ratio of the strongest subjects and the Herfindahl-Hirschman Index of concentration is most commonly used in electronic communications. At this time, it is also important to look at the relative concentration in relation to the unequal distribution values of key market indicator in the relevant market. For this case, we present a variation coefficient in the contribution.
KeywordsElectronic communication Protection of competition Regulation Concentration ratio Herfindahl-Hirschman index
VEGA 1/0721/15 Research on the impact of postal services and telecommunication convergence on regulatory approaches in the postal sector.
VEGA 1/0515/15 Endogenous factors of the IPR intensive Industries in the regional enterprise environment in Slovak Republic.
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