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Cellular telephones in the Israeli market: the demand, the choice of provider and potential revenues

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  • Asher Tishler
  • Ron Ventura
  • John Watters

Abstract

This study presents the methodology, the estimates and a scenario for forecasting the demand for cellular telephones and their use in Israel. The analysis was based on the integration of three sub-models. The estimate of the consumer's decision on whether to purchase a cellular telephone and what type was obtained by using a discrete choice model of the multinomial logit type. The total number of cellular telephone purchases to be made in Israel during the years 1998-2008 was estimated using a logistic growth model employing aggregate data over time. The anticipated demand for airtime was based on findings of a survey carried out on a national sample, and on actual usage data on the various consumers during the years prior to the survey. The research shows the substantial economic potential of Israel's cellular telephone market.

Suggested Citation

  • Asher Tishler & Ron Ventura & John Watters, 2001. "Cellular telephones in the Israeli market: the demand, the choice of provider and potential revenues," Applied Economics, Taylor & Francis Journals, vol. 33(11), pages 1479-1492.
  • Handle: RePEc:taf:applec:v:33:y:2001:i:11:p:1479-1492
    DOI: 10.1080/00036840010011916
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    Cited by:

    1. Lukasz Grzybowski & Pedro Pereira, 2007. "Merger Simulation in Mobile Telephony in Portugal," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 31(3), pages 205-220, November.
    2. Fildes, Robert & Kumar, V., 2002. "Telecommunications demand forecasting--a review," International Journal of Forecasting, Elsevier, vol. 18(4), pages 489-522.
    3. Bi-Huei Tsai & Yiming Li, 2011. "Modelling competition in global LCD TV industry," Applied Economics, Taylor & Francis Journals, vol. 43(22), pages 2969-2981.
    4. Takanori Ida & Toshifumi Kuroda, 2009. "Discrete choice model analysis of mobile telephone service demand in Japan," Empirical Economics, Springer, vol. 36(1), pages 65-80, February.
    5. Mansi Kedia, 2019. "Testing the waterbed effect for India’s telecom industry," Indian Economic Review, Springer, vol. 54(1), pages 121-148, June.
    6. Lukasz Grzybowski & Chiraz Karamti, 2010. "Competition In Mobile Telephony In France And Germany," Manchester School, University of Manchester, vol. 78(6), pages 702-724, December.

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