Please use this identifier to cite or link to this item: https://doi.org/10.1016/j.telpol.2008.09.002
Title: The emerging value network in the mobile phone industry: The case of Japan and its implications for the rest of the world
Authors: Funk, J.L. 
Keywords: Critical mass
Internet
Japan
Mobile phones
Network effects
Value networks
Issue Date: Feb-2009
Citation: Funk, J.L. (2009-02). The emerging value network in the mobile phone industry: The case of Japan and its implications for the rest of the world. Telecommunications Policy 33 (1-2) : 4-18. ScholarBank@NUS Repository. https://doi.org/10.1016/j.telpol.2008.09.002
Abstract: This paper considers how the mobile phone industry is changing from a value chain to a value network using the Japanese market as an example. Value networks involve a larger number of firms, a more complex set of relationships between them, and agreements on a greater number of interface standards than do value chains. Building from this concept of a value network, the paper shows how: (1) agreements on many of these interface standards are enabling connections to be made between the mobile phone and other industries; (2) the resulting products and services often reflect the technological capability of phones and the existing products and services in these "other" industries; (3) each new interface standard requires a new critical mass of users; and (4) a critical mass of users for a new interface standard partly builds from previously created critical masses of users. On a practical level, this paper's analysis adds to a growing list of evidence that the growth in Western mobile Internet markets is nowhere near its potential and that the change from a value chain to a value network requires a different form of standard setting, policy making, and management than are currently used in the mobile phone industry. © 2008.
Source Title: Telecommunications Policy
URI: http://scholarbank.nus.edu.sg/handle/10635/67731
ISSN: 03085961
DOI: 10.1016/j.telpol.2008.09.002
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