Abstract
In order to discuss oligopolists' strategic determination of quality-adjusted prices (QAPs), we conducted a hedonic regression analysis using adjacent periods and estimated the QAPs of mobile phone handsets sold in Japan between 2002 and mid-2007 for each carrier. We observed (1) a decreasing trend in QAP for each carrier, (2) a more rapid decrease in the QAPs of the two smaller carriers' handsets relative to that of the largest carrier, and (3) a turnover cycle of the QAPs between the two smaller carriers. If both small carriers decrease their QAPs at roughly the same time, neither will significantly increase their subscriber share, which can generate a turnover cycle of QAPs.
| Original language | English |
|---|---|
| Pages (from-to) | 391-412 |
| Number of pages | 22 |
| Journal | Review of Industrial Organization |
| Volume | 36 |
| Issue number | 4 |
| DOIs | |
| Publication status | Published - 2010 |
Fingerprint
Keywords
- Hedonic regression
- Quality-adjusted price
- Strategies
ASJC Scopus subject areas
- Economics and Econometrics
- Management of Technology and Innovation
- Strategy and Management
- Organizational Behavior and Human Resource Management
Cite this
Quality-Adjusted Prices of Japanese Mobile Phone Handsets and Carriers' Strategies. / Watanabe, Naoki; Nakajima, Ryo; Ida, Takanori.
In: Review of Industrial Organization, Vol. 36, No. 4, 2010, p. 391-412.Research output: Contribution to journal › Article
}
TY - JOUR
T1 - Quality-Adjusted Prices of Japanese Mobile Phone Handsets and Carriers' Strategies
AU - Watanabe, Naoki
AU - Nakajima, Ryo
AU - Ida, Takanori
PY - 2010
Y1 - 2010
N2 - In order to discuss oligopolists' strategic determination of quality-adjusted prices (QAPs), we conducted a hedonic regression analysis using adjacent periods and estimated the QAPs of mobile phone handsets sold in Japan between 2002 and mid-2007 for each carrier. We observed (1) a decreasing trend in QAP for each carrier, (2) a more rapid decrease in the QAPs of the two smaller carriers' handsets relative to that of the largest carrier, and (3) a turnover cycle of the QAPs between the two smaller carriers. If both small carriers decrease their QAPs at roughly the same time, neither will significantly increase their subscriber share, which can generate a turnover cycle of QAPs.
AB - In order to discuss oligopolists' strategic determination of quality-adjusted prices (QAPs), we conducted a hedonic regression analysis using adjacent periods and estimated the QAPs of mobile phone handsets sold in Japan between 2002 and mid-2007 for each carrier. We observed (1) a decreasing trend in QAP for each carrier, (2) a more rapid decrease in the QAPs of the two smaller carriers' handsets relative to that of the largest carrier, and (3) a turnover cycle of the QAPs between the two smaller carriers. If both small carriers decrease their QAPs at roughly the same time, neither will significantly increase their subscriber share, which can generate a turnover cycle of QAPs.
KW - Hedonic regression
KW - Quality-adjusted price
KW - Strategies
UR - http://www.scopus.com/inward/record.url?scp=77955844693&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=77955844693&partnerID=8YFLogxK
U2 - 10.1007/s11151-010-9253-9
DO - 10.1007/s11151-010-9253-9
M3 - Article
AN - SCOPUS:77955844693
VL - 36
SP - 391
EP - 412
JO - Review of Industrial Organization
JF - Review of Industrial Organization
SN - 0889-938X
IS - 4
ER -