Footnote:
In: 3rd Communication Policy Research South Conference (CPRsouth3), Beijing, China
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments December 5, 2008 erstellt
Description:
This paper aims to find out whether the Chinese wireless operators have high efficiency in operation or not by comparing them with other major carriers from the US, Japan and South Korea. A DEA (Data Envelopment Analysis) model is established to assess the selected wireless operators’ operation efficiency. “Operating Expenses before D&A (Depreciation and Amortization)” and “Plant, Property and Equipment, Net” are taken as input measures, and “Operating Revenue”, “Total Voice Usage”, and “Subscriber Number” are taken as output measures of the DEA model. Data about 7 wireless carriers are collected and processed, including China Mobile and China Unicom from China, AT&T/Cingular, Verizon, and T-Mobile from the US, NTT DoCoMo from Japan and SK Telecom from South Korea. The overall efficiencies are calculated respectively. In addition, partial efficiencies considering different output measures, including “Operating Revenue”, “Total Voice Usage”, “Data Service Revenue” and “Subscriber Number” are calculated respectively. The results show that China Mobile has improved its efficiency greatly in the past 5 years and has reached a high level in 2006. The efficiency of China Unicom is lower than China Mobile but still have a high overall efficiency. No obvious gap in operation efficiency is found between Chinese wireless operators and operators in the developed countries