engleski

The role of customer preference model in introduction of new telecommunication services

Public network operators (PNOs) have become increasingly interested in upgrading their access networks, mainly based on twisted pair infrastructure, with broadband facilities in order to become more competitive with cable and new entrant operators. This is particularly important in the residental and small business areas. Critical strategic decisions are concerned with choiches of network technologies and services, topologies, market segments and finally pricing strategy. In this paper an economic viability from the point of view of profitability of upgrading broadband access networks for PTOs is considered. Since profitable range strongly depends on the level of market uncertainty, Delphi based forecasts are combined with forecasts obtained from the customer multi-attribute preference model and Bayes estimates are formed. The analysis is based on combination of both the cost or investment model and on market or customer preference model which makes it possible to determine profitable range regarding the penetration rate and service price.

access networks; investment costs; customers' preference model; Bayesian approach

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