Business

Based on the inquiry of telecom review panels, it has been rear that the historical telecom sector in Canada is highly noncompetitive relative to other Organization for Economic Co-operation and Development (OCED) countries. This is base on the observation that the sector had non kept thou with technological advances and had not been able to offer widespread and affordable wireless(prenominal) services to consumers. The main causal factor is the brass`s policy of restricting foreign ownership of telecommunication companies, which was considered a national protectionism policy. Consequently, this has reduced the competitiveness of the industry, since it is dominated by few players such as Rogers, Bell and TELUS. To address this problem, the telecommunication review panels appointed by the government activity recommended that the sector should be shaped by market forces, and implies that there should be less government regulations and interventions due to their costly and disruptive natures. In reception to these recommendations, Industry Canada had decided to hold wireless spectrum auction to draw out new players. In addition, it was trying to be less regulatory in its interpretation of its foreign ownership policy.

However, the foreign ownership rules are still under review and perplex not been changed. One of the major problems that need to be addressed is regarding the enforcement of this policy, since the government has now changed its position. The independent industry regulator, Canadian Radio-television and telecommunication accusation (CRTC), still follow the policy and had decided to enforce it against a foreign-owned company (Globalive), even though the company was approved by Industry Canada. Subsequently, Industry Canada overruled the CRTC`s decision. This complicated problem could have been prevented had the government not interfered with the market at the beginning with the inhibitory foreign ownership rules and allow the market... If you want to get a full essay, order it on our website: Orderessay

Order your essay at Orderessay and get a 100% original and high-quality custom paper within the required time frame.