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A Web of Alliances in the Global Telecommunication Industry
Unformatted Document Text:  Global Telecommunication 15 Centrality Analysis The Bonacich measure of centrality for the 25-telecommunication companies was presented in Table 2. The results for the Bonacich centralities, which consider the strength in the network, indicated that SBC Communications (US) was by far the most central actor, followed by British Telecom (UK), Vodafone (UK), TELMEX (Mexico), Telefonica (Spain), Verizon (US) and NTT corp. (Japan). In contrast, most peripheral in the network were Cable & Wireless (UK), WorldCom (US), China Telecom (Hong Kong), Sprint (US) and Deutche Telekom (Germany). The results suggest that SBC Communications (US) and British Telecom (UK) were the most central actors, controlling the volume of interorganizational joint ownership structure. The correlation between centrality and firm size was .321 (p > .05), indicating that a telecommunication firm’s position in the interorganizational network was not significantly related to its firm size. Firm size in the telecommunication industry did not contributed to determine the degree of equity partnerships among firms. ______________________ TABLE 2 ABOUT HERE ______________________ Cluster Analysis The partitioning of positions was done based on the cluster analysis because cluster analysis classifies nodes into subgroups that have similar relationships (Aldenderfer & Blashfield, 1984). Figure 1 showed the results of cluster analysis. The cluster analysis of the telecommunication network revealed four groups. The first and largest group was composed of

Authors: Chon, Bum Soo. and Barnett, George.
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Global Telecommunication 15
Centrality Analysis
The Bonacich measure of centrality for the 25-telecommunication companies was
presented in Table 2. The results for the Bonacich centralities, which consider the strength in the
network, indicated that SBC Communications (US) was by far the most central actor, followed
by British Telecom (UK), Vodafone (UK), TELMEX (Mexico), Telefonica (Spain), Verizon (US)
and NTT corp. (Japan). In contrast, most peripheral in the network were Cable & Wireless (UK),
WorldCom (US), China Telecom (Hong Kong), Sprint (US) and Deutche Telekom (Germany).
The results suggest that SBC Communications (US) and British Telecom (UK) were the most
central actors, controlling the volume of interorganizational joint ownership structure. The
correlation between centrality and firm size was .321 (p > .05), indicating that a
telecommunication firm’s position in the interorganizational network was not significantly
related to its firm size. Firm size in the telecommunication industry did not contributed to
determine the degree of equity partnerships among firms.
______________________
TABLE 2 ABOUT HERE
______________________
Cluster Analysis
The partitioning of positions was done based on the cluster analysis because cluster
analysis classifies nodes into subgroups that have similar relationships (Aldenderfer & Blashfield,
1984). Figure 1 showed the results of cluster analysis. The cluster analysis of the
telecommunication network revealed four groups. The first and largest group was composed of


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