2006a) Modelling scale and scope in the telecommunications industry: problems in the analysis of competition and innovation

Abstract: A theory of scale and scope that takes into account the endogenous nature of technology and the contextual manner in which systems architecture and functionality are shaped by market structures requires an alternative approach to modelling and analysis. Following on from "A new view of scale and scope in the telecommunications industry; implications for competition and innovation " (BOURDEAU et al., 2005) , we apply the concepts of embeddedness, integration and competition to show how the current models can be improved. We also show how the many-layered "network of networks " can be evaluated. Key words: scale and scope; modelling; innovation and competition Introduction: the problem of modelling scale and scope Regulators, business strategists and industry analysts face major challenges in trying to understand the structural transformations that the telecommunications industry is undergoing. One major inhibitor to our ability to conceptualize an industry structure differing from current forms is that w