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Price Wars and Revenue Performance in African Telecom Markets: Evidence from Zambia

Author

Listed:
  • Malema, Pafyako

    (Graduate School of Business, University of Zambia)

  • Sinkala, Muchemwa

    (Graduate School of Business, University of Zambia)

Abstract

This study examines the effect of price-war practices on firm revenue performance in Zambia’s telecommunications sector, with a focus on MTN and Airtel. Drawing on Bertrand competition theory and strategic competition theory, the study investigates whether aggressive pricing strategies directly enhance revenue or operate through intermediary market dynamics. A positivist research philosophy and explanatory research design were adopted. Primary data were collected from 250 employees using structured questionnaires, while secondary data were obtained from company annual reports and regulatory publications covering the period 2020–2024. Quantitative analysis was conducted using correlation and regression techniques. The findings reveal that price-war practices are strongly associated with improved market share performance (r = 0.705, p

Suggested Citation

  • Malema, Pafyako & Sinkala, Muchemwa, 2026. "Price Wars and Revenue Performance in African Telecom Markets: Evidence from Zambia," African Journal of Commercial Studies, African Journal of Commercial Studies, vol. 7(3).
    • Handle: RePEc:cwk:ajocsl:2026-008
    DOI: 10.59413/ajocs/v7.i3.37
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    Keywords

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    JEL classification:

    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • L96 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Telecommunications
    • M21 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Economics - - - Business Economics
    • D43 - Microeconomics - - Market Structure, Pricing, and Design - - - Oligopoly and Other Forms of Market Imperfection

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