Are labels on mobile phone packaging effective? A study of Chile and Colombia

November 20, 2020

In the recent years, regulations have emerged in countries such as Chile and Colombia that require authorized vendors of mobile phone devices to disclose information about the type of networks in which these devices operate, their functionalities, and their compatibility with emergency alert systems. The objectives of the regulation in these countries have been, in the case of Chile, to protect users, guarantee mobile number portability and provide information related to rural areas where only one mobile provider operates in a specific frequency band; and, in the case of Colombia, to protect users from the multiplicity of devices and avoid the confusion that may arise in the purchase of such devices.  

In this sense, the objective of this study is to analyze the effect and effectiveness of the regulations implemented in these countries, and to provide recommendations on whether these regulations should be maintained, abolished, or modified. To this end, this study assesses whether the disclosed information is received, understood, and included in the decision-making process of the consumer’s purchase of mobile phone devices; whether manufacturers, importers, and sellers perceive and change their behavior based on the changes in the consumer’s purchase decisions; and whether these behavioral changes fulfil the public policy objectives set by the regulators. 

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