Let's assume that local time zone is Europe/Berlin (GMT+1).
With an event stored in a different time zone than the one the user uses, the app should:
aCalendar does it nicely: 
(NB The user might have timezone info hidden in nextcloud calendar UI. This would lead to unexpected confusion/errors.)
The calendar app edits the time as per original time zone of event.
Event created in roundcube calendar

BEGIN:VCALENDAR
VERSION:2.0
PRODID:-//Roundcube libcalendaring 1.4-git//Sabre//Sabre VObject 2.1.7//EN
CALSCALE:GREGORIAN
BEGIN:VEVENT
UID:D80851E855CF1132D9CC0A48F31C33F3-44A014B8E8E6E4A8
DTSTAMP;VALUE=DATE-TIME:20181212T202955Z
CREATED;VALUE=DATE-TIME:20181212T202852Z
LAST-MODIFIED;VALUE=DATE-TIME:20181212T202852Z
DTSTART;VALUE=DATE-TIME:20181215T090000Z
DTEND;VALUE=DATE-TIME:20181215T093000Z
SUMMARY:Test 10:00 GMT+1 created in RC
SEQUENCE:0
TRANSP:OPAQUE
CLASS:PUBLIC
END:VEVENT
END:VCALENDAR
Event displayed in Nextcloud calendar

Event edited in Nextcloud calendar

(Time zone info is hidden! However, if shown there is UTC.)
Event displayed in aCalendar on Android

Event edited in aCalendar on Android

Server version: 14.0.1
Calendar version: 1.6.3
Updated from an older installed version or fresh install: Updated continueously from nc 11.0
Browser: Firefox 63.0.1 64-bit
Operating system: Arch Linux
CalDAV-clients:
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If you click on the globe icon you will see the selected timezone and be able to change it.
But it would indeed be a nice improvement to show it in the timezone selected in the settings as well.
Thanks for a accepting the proposal.
There is another issue with the current implementation of timezone & time in the editor:
The user has to
a) change the time zone and
b) calculate the difference and adjust the time manually.
It might be better to have the app automatically change the time in accordance with the manual change of the time zone.
The only exception might be when the original time zone is "none" (hence "floating" local time).
+1
I'm from Australia and using nextcloud with a national group. We have 5 different timezones in Australia and while the event time is shown (translated to) my own timezone in the calendar view, as soon as I click on an event to see the details the event time is displayed in whatever timezone was set for the event. With online events such as Zoom calls this causes havock because User's assume the time displayed in their current default timezone.
Possible solutions I can think of are:
to the Timezone abbreviation eg: [AEST]e.g.:
icon the timezone will default to their current timezone AEST and changing it to ACST will adjust the times displayed accordingly to 10:00amIt would still be best to change the
icon to something that shows which timezone the times being displayed are in. Hovering a mouse over is too inconvenient.
I stumbled over the same issue, after importing an event into my calendar. It is correctly shown for 6pm, but the popup displayed a different time. Took me a moment to figure out which time was the correct one. Seeing two different times next to each other is quite disturbing:

Most helpful comment
I stumbled over the same issue, after importing an event into my calendar. It is correctly shown for 6pm, but the popup displayed a different time. Took me a moment to figure out which time was the correct one. Seeing two different times next to each other is quite disturbing: