Purpose

The main research target of this paper is to capture the network effects using the case of mobile cellular telephony, identified in European telecommunication markets, and its determinants enhancing the process of digital technologies diffusion.

Design/methodology/approach

This research relies on panel and dynamic panel regression analysis. The empirical sample covers 30 European countries, and the period for the analysis is set for 2000–2019.

Findings

This work contributes by examining the network effects identified on European telecommunication markets that drive the process of digital technologies diffusion, but it also extends the understanding of the latter by tracing major determinants of fast network expansion, e.g. prices of access to and use of, per capita income, urbanisation, population density, accessibility of fixed telephony infrastructure. The main findings support the initial supposition that the installed base strongly enhances diffusion of new technologies, while other factors, for example, prices, are not of prime importance.

Research limitations/implications

This research has certain managerial implications. The unveiled network effects driving adoption of technological innovations constitute a significant determinant of implementation of differentiation strategy by telecommunication companies. Due to network effects consumers' propensity to join the network is valued higher than the prices of services offered, which is crucial not only from the perspective of the company's pricing strategy but also enables telecommunication companies to introduce to the market new products and/or services concentrating on increasing its quality and usability rather than future prices.

Originality/value

This is the first work that empirically verifies the intercompanies and interpersonal diffusion of cellular telephony, hypothesising that this process relies on unique network effects.

中文翻译：

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网络效应——它们对数字技术的传播重要吗？

目的

本文的主要研究目标是利用欧洲电信市场中确定的移动蜂窝电话案例来捕捉网络效应及其促进数字技术扩散过程的决定因素。

设计/方法论/途径

这项研究依赖于面板和动态面板回归分析。实证样本涵盖30个欧洲国家，分析时期设定为2000年至2019年。

发现

这项工作通过研究欧洲电信市场上确定的推动数字技术传播过程的网络效应做出了贡献，但它也通过追踪快速网络扩张的主要决定因素（例如，每个网络的接入和使用价格）来扩展对后者的理解。人均收入、城市化、人口密度、固定电话基础设施的可用性。主要发现支持了最初的假设，即安装基础极大地促进了新技术的传播，而价格等其他因素并不是最重要的。

研究局限性/影响

这项研究具有一定的管理意义。推动技术创新采用的网络效应是电信公司实施差异化战略的重要决定因素。由于网络效应，消费者加入网络的倾向的价值高于所提供服务的价格，这不仅从公司定价策略的角度至关重要，而且还使电信公司能够向市场推出新产品和/或服务专注于提高其质量和可用性，而不是未来的价格。

原创性/价值

这是第一项实证验证蜂窝电话的公司间和人际传播的工作，假设该过程依赖于独特的网络效应。