This paper examines variations in the adoption of new technology by firms operating in a network-based industry: telecommunications. These variations are explained as a function of three network effects: the first is the conversion effect, driven by operations-related increasing returns to scale; th
On the utilization of resources: perspectives from the U.S. telecommunications industry
โ Scribed by Sumit K. Majumdar
- Publisher
- John Wiley and Sons
- Year
- 1998
- Tongue
- English
- Weight
- 160 KB
- Volume
- 19
- Category
- Article
- ISSN
- 0143-2095
No coin nor oath required. For personal study only.
โฆ Synopsis
The issue of resource utilization is important in the resource-based stream of work, since the ability of firms to utilize resources is a key indicator of their competitive abilities. This paper specifies why some firms might be better at utilizing resources than others. Thereafter, it demonstrates how to empirically ascertain differences in resource utilization patterns between firms using the U.S. telecommunications industry as a context. The data envelopment analysis procedure (DEA), which is a firm-level resource utilization measure, is used. This procedure can be useful for the resource-based approach research agenda since performance is measured in resource terms. DEA is applied to measure variations in different dimensions of resource utilization for the firms making up the local operating sector of the telecommunications industry. The use of DEA to guide empirical research and address theoretical issues within the resourcebased paradigm is illustrated, using the resource utilization index for the telecommunications firms as the measure of strategic performance.
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