Competition And Regulations: A Study Of Problems In The Innovation And Development Of Telecommunication Field In China

Telecommunication is a fundamental and strategic industry in our country. It plays an important role in the development of national economy, the safety of state economy and information, and the maintenance of the sovereignty of our country. With the deepening of the innovation of the economic system of our country in the global environment, the administrative system, managing system and market environment have changed a lot in telecom industry. By 2003, the monopolized pattern had been broken, forming the marketing pattern of "5+1, " i.e. the co-existence of China Telecom, China Netcom, China Mobile, China Unicom, China Tietong, and China Satcom. A new pattern is gradually forming with market competition and governmental regulation. After many years' innovation, China Telecom has ranked among the first 500 enterprises in the world, and the scale of the telecom network and the number of users has ranked first in the world. New technology is emerging, the fee is decreasing, the service of Telecom is improving and the consumers are gaining more benefit. However, with all these achievements in the innovation, we should be clear that during the deepening of the innovation, problems still exist, for example, the price war has not been extinct, the disputes between networks are worsening, re-construction is still a prominent problem, the power of enterprises is unbalanced, the industrial structure is not reasonable, and the equipments are hanging behind. The problems influenced and limited the development of the development of the Telecom in our country. In the stern situation of globalization and internationalization, the Telecom market is facing the double pressure of opening up and the domestic and international competition. Corresponding innovation must be taken to promote the development of telecom and protect the interests of the consumers. This can only be achieved through the consummation of the competitive system of the market, and through the strengthening the governmental regulation. Effective competition is the direction of the regulations made by the government. Administrative regulation is an important guarantee of effective competition. This article analyzes the theories of competition and regulation, and then discusses the innovative practice of the telecom innovation in developed countries and the developmental history of the innovation of China Telecom. This article makes it clear that we should...