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Strategic Behaviour In Network Industries

A Multidisciplinary Approach
Ernst ten Heuvelhof, Martin de Jong, Delft University of Technology, The Netherlands, Mirjam Kars, Gemeente Roosendaal, The Netherlands and Helen Stout, Delft University of Technology, The Netherlands
This in-depth book explains how institutional changes such as the privatization and liberalization of network industries, for example transport, energy or telecommunications, can frequently be disappointing. The expected benefits such as lower prices, innovation and better services fail to materialize, often because the number of competitors is low. The authors demonstrate how strategic actor behaviour of one or more of the firms involved can help explain these disappointing results.
Extent: 224 pp
Hardback Price: £77.00 Online: £69.30
Publication Date: 2009
ISBN: 978 1 84720 610 7
Availability: In Stock
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  • Business and Management
  • Organisational Behaviour
  • Economics and Finance
  • Game Theory
  • Institutional Economics
  • Public Sector Economics
This in-depth book explains how institutional changes such as the privatization and liberalization of network industries, for example transport, energy or telecommunications, can frequently be disappointing. The expected benefits such as lower prices, innovation and better services fail to materialize, often because the number of competitors is low. The authors demonstrate how strategic actor behaviour of one or more of the firms involved can help explain these disappointing results.

This book elucidates the concept of ‘strategic behaviour’ and portrays it in real-life examples to aid our understanding of this important phenomenon in terms of policy and organizational decision-making. It clearly demonstrates the adverse effects strategic behaviour can exert on the quality of infrastructure provision after liberalization. The theoretical sections are backed by empirical examples from throughout the world.

The unique multidisciplinary approach will ensure a broad readership among students, researchers and policy-makers with an interest in the economics, politics and management of infrastructure and network industries.
‘This book convincingly argues that – from a theoretical point of view – present day network industries offer opportunities for strategic behaviour and that these opportunities are also actually utilized in practice. The authors show that this behaviour can be harmful to the realization of the expected positive effects of institutional changes such as liberalization and privatization (e.g., innovation and lower prices). The authors make their case in a solid theoretical way illustrated with insightful case studies. This book is a must for academics, managers and policy makers in today’s network industries.’
– John Groenewegen, Delft University of Technology, The Netherlands
Contents: Foreword 1. Introduction 2. Defining Strategic Behaviour 3. General Breeding Grounds for Strategic Behaviour 4. Recent Trends in Infrastructure-based Sectors 5. The EU–US 2007 Open Skies Treaty 6. Enron by Mark de Bruijne 7. American Telephone and Telegraph Company 8. UMTS Spectrum Auctions in the EU 9. Microsoft 10. Analysis 11. Counterarrangements Index