A Study On The Regulatory And Competition Of Telecommunication Industry

The telecommunications'industry has being one of the most rapidly developing and most vigorous industries since the reform and opening of China. With features of huge investment, long investment period, wide scope and long time for return of investment, as the important part of infrastructure, the government played an important role in the development of telecommunications industry. In many industries directly regulated by the government, the conflict in telecommunication industry is the sharpest with appealing for the opening up of this industry. With the development of China, people are expecting more cheap and convenient telecommunication service. With the development in recent decades and the reform on structure of the industry in 1994,1994,2002 and 2008, the competitive aspect of the industry has come into being. In recent years, the growth in this industry kept being higher than that of GDP. The telecommunications industry of China is growing and enhancing.This article start from the concepts of monopoly of the industry and regulation and then by introducing the background of the world telecommunications industry regulation and the major reform in Chinese market, the article focuses on several key issues such as performance analysis after regulating of the industry. The recommendations are also given on how to better regulate the industry. The author referred to related articles on telecommunication industry development and economics theses as well to complete this article. Statistic analysis method is applies also. DEA method to regulates the course achievements the analysis is this article innovation spot; Moreover, the similarities and differences detailed correlation which and to our significance regulates to UK, US and Japan is also this article unique merit.This article includes 5 chapters. Chapter one is introduction which elaborates the background and purpose of selecting the subject, the method applies in the study is also introduced in this chapter. Chapter two analyses the concept of telecommunications, monopoly and regulation. The natural monopoly feature and possibility of competition of the industry were discussed with conclusion that the industry requires competition to boost the development. Chapter three introduced the history of telecommunications industry regulating of USA, UK and Japan and compared the difference and similarity with ours. From the comparison, the author try to find out the experience we can learn from for telecommunications industry of China. Chapter four focused on the history and achievement of regulating of the industry in China by introducing several milestones in this aspect. Statistic method was applied to analyze the investment and the return. DEA method was applied to analyze the scale and technique of the recent twenty years. Chapter five was the recommendations on methods and actions for better development of telecommunications industry regulating in China. The methods and actions focused on five aspects:regulating policies, regulating organization and regulation, property rights, entrance regulating and regulating fusion.