Hostname: page-component-cd9895bd7-jkksz Total loading time: 0 Render date: 2024-12-27T21:39:09.321Z Has data issue: false hasContentIssue false

Contested Contestability: Competition Policy and the Development of Communications Satellite Broadcasting in Japan

Published online by Cambridge University Press:  20 January 2017

Adam Johns*
Affiliation:
Rikkyo University

Abstract

This paper analyses the application of competition policy regulation and its effect on market conduct and performance through the case study of communication satellite broadcasting in Japan. Focusing on structural regulations such as vertical separation and conduct regulations such as open access, this paper questions whether regulations have effectively led to contestable markets by examining the shareholding relationships of major player SKY PerfecTV. Findings presented here suggest that regulation designed in principle to achieve performance-oriented goals of contestability and diversity actually impaired the functioning of the market and the ability of industry players to obtain an adequate return on investment.

Type
Research Article
Copyright
Copyright © V.K. Aggarwal 2012 and published under exclusive license to Cambridge University Press 

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

Asai, S. (2006). Comparative analysis of the market structure of broadcasting and telecommunications in Japan. Digital Broadcasting: Policy and Practice in the Americas, Europe and Japan. Cave, M. and Nakamura, K., Elgar, Edward.Google Scholar
Baumol, W. J. (1982). “Contestable markets: An uprising in the theory of industrial structure.” The American Economic Review 72 (1): 115.Google Scholar
Casson, M. (1986). Multinational and World Trade: Vertical integration and the division of labour in world industries. London, Allen & Unwin.Google Scholar
Cave, M. (2005). “Competition and the exercise of market power in broadcasting: a review of recent UK experience.” info 7 (5): 20–8.Google Scholar
Cave, M. and Prosperetti, L. (2001). “European telecommunications infrastructures.” Oxford Review of Economic Policy 17 (3): 416–31.Google Scholar
Devlin, A. (2010). “Antitrust in an era of market failure.” Harvard Journal of Law and Public Policy 33 (2).Google Scholar
Einhorn, M. A. (1987). “Optimality and sustainability: regulation and intermodal competition in telecommunications.” RAND Journal of Economics 18 (4): 550–63.CrossRefGoogle Scholar
Flew, T. (2006). “The Social Contract and Beyond in Broadcast Media Policy.” Television & New Media 7 (3): 282305.Google Scholar
Hazlett, T. W. and Ford, G. S. (2001). “The Fallacy of Regulatory Symmetry: An Economic Analysis of the ‘Level Playing Field’ in Cable TV Franchising Statutes.” Business and Politics 3 (1): 2146.Google Scholar
Helm, D. (2001). “The assessment: European networks - competition, interconnection and regulation.” Oxford Review of Economic Policy 17 (3): 297312.Google Scholar
Hoffmann-Riem, W. (1996). Regulating Media. New York, Guilford Press.Google Scholar
Koyama, M. (1985). “The new communication age in Japan.” Telecommunications Policy 9 (3): 182–4.Google Scholar
Lattimore, R. (2003). Regulation and Market Access. Sidorenko, A. and Findlay, C. Canberra, Asia Pacific Press.Google Scholar
Ministry of Internal Affairs and Communications (2004). Major Aspects of Japan's Broadcasting Policy.Google Scholar
Ministry of Public Management Home Affairs Posts and Telecommunications - Japan (2002). Major Aspects of Japan's Broadcasting Policy. December 2002.Google Scholar
Mitomo, H. and Ueda, Y. (2006). Economies of scale, scope, and vertical integration in the provision of digital broadcasting in Japan. Digital Broadcasting: Policy and Practice in the Americas, Europe and Japan. Cave, M. and Nakamura, K., Elgar, Edward.Google Scholar
Nakamura, K. (1999). “Japan's TV broadcasting in a digital environment.” Telecommunications Policy 23 (April/May): 307–16.Google Scholar
Nakamura, K. (2001). Convergence and competition: Policy issues in Japan. Convergence of Telecommunications and Broadcasting in Japan, United Kingdom, and Germany. Nakamura, K. and Agata, K. Richmond, Curzon Press.Google Scholar
New York Times (2010) “Liberty Global sells stake in Japanese company”, 26 January 2010, New York Nippon Television (2003). Introduction of new 110-degree CS digital broadcast business - Press Release.Google Scholar
Noam, E. M. (1985). Video Media Competition: Regulation, Economics, and Technology. New York, Columbia University Press.Google Scholar
Noam, E. M. (2009). Media Ownership and Concentration in America. New York, Oxford University Press.Google Scholar
Papandrea, F. (2000). “Broadcasting Planning and Entrenched Protection of Incumbent Broadcasters.” Institute of Public Affairs Policy Paper 2000/1.Google Scholar
Pokarier, C. (1996). “A diverse media or an Australian media.” Policy 12 (2): 711.Google Scholar
Sidorenko, A. and Findlay, C. (2003). Regulation and Market Access. Canberra, Asia Pacific Press.Google Scholar
SKY Perfect JSAT (2010). Annual Report 2010.Google Scholar
SKY Perfect JSAT (2012). Number of Subscribers as of the end of June 2012 - News Release.Google Scholar
Age, The (2003). News Corp sells Perfect shares. 31 August 2003, Melbourne.Google Scholar
The Japan Times (2003). Sky Perfect to aquire Plat One, 19 December 2003, Tokyo.Google Scholar
Warren, T. and Findlay, C. (1998). “Competition Policy and International Trade in Air Transport and Telecommunications Services.” World Economy 21 (4): 445–56.Google Scholar
Waterson, M. (1984). “Issues in the regulation of cable TV.” International Review of Law and Economics 4 (1): 6782.Google Scholar