Anmerkungen:
In: Chouhan, Amitoj Singh., Sridhar, V., Shrisha Rao. (2021). Service Provider Strategies in Telecommunications Markets: Analytical and Simulation Analysis. Sādhanā ( Published by the Indian Academy of Sciences), 46-44. DOI: https://doi.org/10.1007/s12046-020-01535-7
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments July 10, 2020 erstellt
Beschreibung:
The telecommunications market has evolved into product-differentiatedmarkets due to the varying quality of data services. Earlier work has takenonly the price into account and has not considered quality, which is, however,an essential factor. We provide a supply-demand framework considering bothprice and quality of service, and analyze the different incumbents and entrants'strategies in offering services that vary in price-quality dimensions. Equilibriaare determined over customer preferences on different price-quality plans on of-fer. We model supply curves with varying elasticities to differentiate betweenincumbents and entrants. Similarly, demand curves with varying elasticitiesexhibit consumer preferences. We also prove a theorem which shows that themaximum quantity supplied at equilibrium is for a unit elastic demand andthe maximum elasticity of supply. Our results give us a mathematical under-standing of the telecommunications market in terms of price and quality andshow that incumbents should target high-paying quality-conscious consumersin order to gain additional share in the market