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An Empirical Study on Consumer BehaviorUnder Number Portability

  • Informatization Policy
  • Abbr : 정보화정책
  • 2006, 13(2), pp.16-27
  • Publisher : NIA
  • Research Area : Social Science > Public Policy

Choong-Han Yoon 1 정준호 2

1한양대학교
2㈜리서치알앤에이

Accredited

ABSTRACT

Number portability in the Korean mobile telephony market was designed to promote fair competition among the market players. In macro level, it seems that number portability has resulted in various positive changes in the Korean mobile telephony market. First of all, subscribers’churning rate has increased. Second, while the market share of the leading firm has decreased, that of the followers has increased. As a result, the market concentration ratio, Herfindahl index has decreased, proving that the market has become more competitive. The main focus of this research is to find out whether these macro level evidences are corroborated by micro level evidences. Specifically, we show that individual subscribers’behaviors have changed owing to number portability. Using econometric methods, we analyze whether number portability promotes competition in the Korean mobile telephony market. We use discrete choice models with survey data on individual users. We show that consumer behavior is consistent with what we can assess in aggregate data.

Citation status

* References for papers published after 2023 are currently being built.