Proceeding

Strategic Management Theories on Spectrum Sharing: Case of Indian Spectrum Market

2018 Young Scholar Recipient

Author

  • Ayushi Tandon, Ph.D. Candidate, Information Systems, Indian Institute of Management, Ahmedabad, India

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Abstract

Many studies have documented the transition of Indian telecom sector from command and control to market based regimes. This change has been accompanied by many reforms and, theories from discipline like economics, strategic management have been applied to explain the various sub-processes part of this phenomenon as: how incumbents took the decision, new entrants survived and role of the state. The case of Indian telecom sector is interesting since it evolved in an increasingly litigious environment; and Indian telecom regulators adopted an
incremental policy making approach. As a result, the spectrum allocation in India is highly fragmented, beyond the levels needed for competition. Thus recent regulatory changes allowed flexible spectrum access to the incumbents and encouraged consolidation in telecom sector by policy reforms. In USA also, telecom regulator FCC consulted business and academia on spectrum-sharing techniques for 3.5 GHz band, since efficient spectrum utilization is critical. Policy makers in the UK and other European countries have also contemplated the spectrum
sharing as one of the option. There are multiple stakeholders part of policy formulation on spectrum sharing. In this paper, we have applied the production function given by Jensen and Meckling to analyze the spectrum sharing scenario in India and made policy recommendations. For the purpose of this study we relied on official documents by TRAI, government and incumbents in Indian telecom sector.

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