Competitive dynamics in Greek telecommunications: The effects of telecommunications reform on market structure

This paper analyses the implications of liberalization on market structure in the Greek telecommunication market from 1992 to 2005. In particular, we investigate the influence of the sector’s reform on market structure and the possible explanatory factors of these dependent variable. The data refers to 44 of the most prominent companies of fixed telephony, mobile telephony and internet services and was compiled by means of interviews with the help of a questionnaire. The data was evaluated both descriptively and econometrically (Panel Feasible Generalised Least Squares – FGLS). Our descriptive analysis concluded that liberalization of the telecommunication market reduced its concentration degree and increased competition. This conclusion is supported by other research studies. The econometric research showed that both private ownership and specialized personnel in the commercial and technical sector seem to positively influence the companies’ market share. In this way, the present article offers useful information about a field that continues to be characterized by a vast researching deficit