Effect of Failures on Stock Price of Telecommunication Service Providers

摘要

This paper reports the results of a new test on what typesof failure cause falls in the stock prices of telecommunication serviceproviders. This analysis of stock price is complementary to our previousone on market share. A clear result of our new test is that the type of failurecausing falls in stock price is dierent from the type causing declinein market share. Specifically, the previous study identified frequent failuresas causes of decline in market share, while the current study indicateslarge failures aecting many users as causes of falls in stock price. Together,these analyses give important information for reliability designs oftelecommunications networks.