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Effects of consumer preferences on the convergence of mobile telecommunications devices

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  • Yeonbae Kim
  • Jeong-Dong Lee
  • Daeyoung Koh

Abstract

Amidst the overall trend of convergence in information technology, device convergence is noteworthy. This study looks at the possible direction of device convergence based on consumer preferences for the main attributes of the mobile terminal of the future. Conjoint analysis and a mixed logit model using a Bayesian approach with Gibbs sampling are used to learn consumer preferences. Results show that consumers generally prefer a keyboard and a medium-sized display, although at present most consumers are indifferent to whether the terminal provides high-quality Internet service and to whether it operates many kinds of application programs or programs originally designed for personal computers. Given the heterogeneity of consumer preferences, partial, rather than perfect, device convergence is anticipated. Implications for the future of device convergence and how it will affect other types of convergence are drawn.

Suggested Citation

  • Yeonbae Kim & Jeong-Dong Lee & Daeyoung Koh, 2005. "Effects of consumer preferences on the convergence of mobile telecommunications devices," Applied Economics, Taylor & Francis Journals, vol. 37(7), pages 817-826.
  • Handle: RePEc:taf:applec:v:37:y:2005:i:7:p:817-826
    DOI: 10.1080/0003684042000337398
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    Cited by:

    1. Bourna, Maria & Mitomo, Hitoshi, 2014. "Understanding broadband under-utilization in Japan," 20th ITS Biennial Conference, Rio de Janeiro 2014: The Net and the Internet - Emerging Markets and Policies 106887, International Telecommunications Society (ITS).
    2. Geum, Youngjung & Kim, Moon-Soo & Lee, Sungjoo, 2016. "How industrial convergence happens: A taxonomical approach based on empirical evidences," Technological Forecasting and Social Change, Elsevier, vol. 107(C), pages 112-120.
    3. Lee, Jong-Ho & Garrett, Tony C. & Self, Donald R. & Findley Musgrove, Carolyn S. (Casey), 2012. "Expressive versus instrumental functions on technology attractiveness in the UK and Korea," Journal of Business Research, Elsevier, vol. 65(11), pages 1600-1605.
    4. Daeho Lee & Jungwoo Shin & Junseok Hwang, 2011. "Application-Based Quality Assessment of Internet Access Service," TEMEP Discussion Papers 201183, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Nov 2011.
    5. Jungwoo Shin & Chang Seob Kimi & Jongsu Lee, 2009. "Model for Studying Commodity Bundling with a Focus on Consumer Preference," TEMEP Discussion Papers 200934, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Nov 2009.

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