Three essays exploring the role of culture in technology diffusion: an investigation of mobile communication technology

July 10, 2025

A evolução das TCM exige decisões estratégicas por parte dos operadores de redes móveis (MNO) relativas à atualização da infraestrutura de rede existente. Os MNO incorrem em despesas de capital significativas para atualizar as infraestruturas de rede com a chegada de cada nova geração de TCM. Embora a dinâmica da procura no que respeita à difusão e adoção das TCM esteja bem estudada, os aspectos da oferta relativos aos motores dessas decisões estratégicas, especialmente a nível transnacional, não foram amplamente investigados. O terceiro ensaio situa-se no quadro da “economia do investimento em redes” para investigar o modo como as gerações de infraestruturas existentes, moderadas pela cultura nacional, impulsionam as decisões estratégicas dos MNO, captadas a nível nacional. Invocamos o Quadro das Dimensões Culturais de Hofstede para postular que a cultura nacional modera as relações entre a infraestrutura de rede existente e as decisões agregadas de investimento de capital dos MNO num país. A análise empírica é feita com recurso a um modelo de painel dinâmico utilizando dados de noventa e dois países ao longo de oito anos, e revela que as dimensões culturais de Aversão à Incerteza e de Masculinidade, moderam os impactos das infraestruturas de rede 3G e 4G existentes nos investimentos de capital agregados. Conclui-se que a cultura influencia as estratégias de cobertura de rede à medida que a evolução das TCM progride ao longo do tempo. Do ponto de vista das condições de mercado, a tendência das receitas por cliente, juntamente com o ecossistema de desenvolvimento de aplicações, influencia o processo de tomada de decisões. Do ponto de vista socioeconómico, verifica-se que a desigualdade, a alfabetização dos adultos e a fiscalidade desempenham um papel importante. As implicações da tese indicam que a cultura permite entender os diferentes graus de difusão das TCM entre países, e pode ajudar a criar estratégias para que as empresas utilizem eficazmente as influências sociais para a adoção das 5G, bem como das futuras gerações de TCM. As conclusões fornecem aos decisores políticos informações sobre a necessidade de desenvolver o capital humano no percurso da transformação digital. Aprender com outros países com contextos culturais semelhantes ajudaria a garantir a eficácia das políticas. A necessidade de incorporar a dimensão cultural, juntamente com a influência social, ajudaria a uma implementação eficaz das políticas. Por último, os incentivos ao investimento na construção de infraestruturas digitais devem ter em conta a cultura. The rapid evolution of Mobile Communication Technology (MCT) and its associated innovations has profoundly transformed economies, driving long-term socioeconomic changes. Understanding the interplay between MCT evolution, technology adoption, and diffusion is essential for enabling informed policy decisions and strategic investments. A key research area in MCT is the study of its diffusion across diverse global markets. Diffusion, defined as the cumulative market adoption of innovation over time, is inherently a group-level phenomenon influenced by the dissemination of information and societal acceptance. Diffusion studies rely on longitudinal data to analyse market adoption trends. Early research predominantly employed the Diffusion of Innovation (DOI) framework, utilising qualitative methodologies. Subsequent studies adopted non-linear mathematical models such as Logistic, Gompertz, and Bass models to characterise innovation growth quantitatively. Among these, the Bass Model provides an intuitive approach by capturing key diffusion dynamics through its parameters, offering a more generalizable interpretation of cross-country adoption variations. Given its robust analytical foundation, the Bass Model is the methodological cornerstone of this research. A fundamental aspect of technology diffusion is its perceived usefulness and ease of use within a given cultural and geographical context. Cultural factors significantly influence societal attitudes toward technology, shaping adoption behaviours. The transition of societies toward an information-driven economy highlights the role of cultural adaptation in maximising technology utilisation for economic advancement. Consequently, technologists and policymakers must remain attuned to social, cultural, and geographic determinants when promoting new technologies. Hofstede's national cultural dimensions have been extensively employed in academic research to explain technology adoption behaviours. As a widely recognised framework in Information Systems (IS) research, Hofstede’s model provides a stable and empirically validated perspective on national cultural values. While alternative models exist (e.g., Schwartz’s cultural value framework), Hofstede’s theory remains the preferred analytical tool due to its extensive application and cross-cultural comparability. By leveraging Hofstede’s cultural dimensions as a proxy for national culture, this research investigates MCT diffusion and its cultural interdependencies. Despite the growing body of research on MCT diffusion, the relationship between cultural dimensions and infrastructure investment remains underexplored. Prior studies indicate that culturally similar countries often emulate successful policy frameworks, suggesting that cultural appropriateness is a crucial factor in infrastructure planning. Recent research underscores the predictive power of cultural models in explaining national infrastructure development trends. While conventional studies on MCT investment have predominantly focused on price and revenue elasticities, this research extends the discourse by examining how technological evolution influences investment decisions in the mobile network industry. This dissertation explores the intersection of national cultural traits and MCT diffusion, offering practical insights into technology adoption strategies and infrastructure investments across diverse cultural settings. It comprises three interrelated essays that employ varied research methodologies to investigate this phenomenon. The overarching objective is to empirically assess the role of culture in MCT diffusion, with a focus on both descriptive and explanatory dimensions. The research findings hold significant practical value for guiding technology adoption policies and investment strategies tailored to different cultural contexts.

Authors in the community:

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  A

  Amitava Datta

  ist194252

Supervisors of this institution:

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  J

  Joana Serra da Luz Mendonça

  ist45229

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  H

  Hugo Miguel Fragoso de Castro Silva

  ist152309

101825889

Doutoramento em Engenharia e Políticas Públicas

political-science - Political Science

Keywords

• Mobile Communication
• Diffusion
• Hofstede’s Culture
• Social Contagion
• Network Investment
• Comunicação móvel
• difusão
• dimensões culturais de Hofstede
• contágio social
• investimento em rede

eng - English

Instituto Superior Técnico