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Competition in Mobile Telephony in France and Germany

23 Pages Posted: 25 Oct 2010  

Lukasz Grzybowski

Telecom ParisTech

Chiraz Karamti

Telecom Bretagne

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Abstract

This paper analyses the development of mobile telephony in France and Germany in 1998–2002. We conduct this analysis in relation to the antitrust investigation initiated by the French competition authority in 2002 due to exchange of strategic information and a share-fixing agreement between network operators. The results suggest a significant difference between price elasticities of demand in these two countries. Moreover, consumers perceive mobile telephony as a substitute for fixed-line connection in France and as a complement in Germany. In the time period of the share-fixing agreement among French network operators there were no adverse shifts in the levels of prices and subscriptions.

Suggested Citation

Grzybowski, Lukasz and Karamti, Chiraz, Competition in Mobile Telephony in France and Germany. The Manchester School, Vol. 78, Issue 6, pp. 702-724, December 2010. Available at SSRN: https://ssrn.com/abstract=1696259 or http://dx.doi.org/10.1111/j.1467-9957.2009.02155.x

Lukasz Grzybowski (Contact Author)

Telecom ParisTech ( email )

46 rue Barrault
F-75634 Paris, Cedex 13
France

Chiraz Karamti

Telecom Bretagne ( email )

46, rue Barrault
Paris, 75013
France

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