This study analyzes the importance of the political-institutional dimension and of the incorporation of pro-competition initiatives between political actors and company agents to boost market performance. It may be argued that the key to understanding the structuring of the new telecommunications market in Brazil was a coordinated effort of political decisions by the government and of market forces unleashed (1) in the global context of the technology revolution in the telecommunications industry and (2) in the political-national context of domestic market expansion and the internalization of the economy. Starting in 1998, with the end of the state monopoly in Brazil, there began an environment of technological innovations, commercial liberalization and market competition. In this new scenario, the State played the role of regulator: continual political actions and vigilance aimed to encourage investments and promote the sector's reconfiguration. After decades of lack of structural capacity, both technological and sociopolitical, in order to establish a potential telecommunications market, due to the history of repressed demands for telephones, Brazil began to occupy an important position in the global information services market, especially in market volume and quality of services.
telecommunications market; technological innovations; governmental political decisions; market regulation; commercial competitiveness
