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RESEARCH ON SYNERGY CAUSED BY NETWORK EXTERNALITY: THE CASE OF LITHUANIAN FIXED TELEPHONE COMMUNICATIONS MARKET

Ekonomika

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Title RESEARCH ON SYNERGY CAUSED BY NETWORK EXTERNALITY: THE CASE OF LITHUANIAN FIXED TELEPHONE COMMUNICATIONS MARKET
 
Creator Ličkus, Petras
 
Description The paper presents a theoretical model of synergetic effect and explores the Lithuanian fixed telephone communications market before and after liberalization in accordance with network externality and user utility change when new users login. Based on the developed theoretical model, an empirical research was done. The aim of the research was to investigate the synergetic effect and to show the importance of network externality in the Lithuanian fixed telephone communications market. According to our theoretical model, there may be a situation when, after liberalization and due to increased competition, the profit of the market monopolist (ex) grows. This means that the competition caused by the decrease in revenue is offset by gains in the supply. In this case, the synergetic effect caused by the network externality takes place.
 
Publisher Vilniaus universiteto Ekonomikos fakultetas / Vilnius University Faculty of Economics
 
Date 2011-01-01
 
Type info:eu-repo/semantics/article
info:eu-repo/semantics/publishedVersion
Peer-reviewed Article
 
Format application/pdf
 
Identifier http://www.zurnalai.vu.lt/ekonomika/article/view/941
10.15388/Ekon.2011.0.941
 
Source Ekonomika; Ekonomika 2011 90(2)
1392-1258
1392-1258
 
Language lit
 
Relation http://www.zurnalai.vu.lt/ekonomika/article/view/941/462
 
Rights Autorinės teisės (c) 2014 Ekonomika