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Mass Customization in Wireless Communication Services: Individual Services and Tariffs

In: Handbook of Research in Mass Customization and Personalization (In 2 Volumes)

Author

Listed:
  • Hong Chen

    (Rotterdam School of Management, Erasmus University, The Netherlands)

  • L-F Pau

    (Copenhagen Business School, and L.M. Ericsson AB, Denmark)

Abstract

This chapter presents results on mass customization of wireless communications services and tariffs. It advocates for a user-centric view of wireless service configuration and pricing as opposed to present-day service catalogue options. The focus is on design methodology and tools for such individual services and tariffs, using altogether information compression, negotiation algorithms, and risk portfolio analysis. We first analyze the user and supplier needs and aspirations. We then introduce the systematic design-oriented approach which can be applied. The implications of this approach for users and suppliers are discussed based on an end-user survey and on model-based calculations. It is shown that users can achieve desired service bundle cost reduction, while suppliers can improve significantly their risk-profit equilibrium points, reduce churn as well as marketing costs, and simplify provisioning.

Suggested Citation

  • Hong Chen & L-F Pau, 2009. "Mass Customization in Wireless Communication Services: Individual Services and Tariffs," World Scientific Book Chapters, in: Frank T Piller & Mitchell M Tseng (ed.), Handbook of Research in Mass Customization and Personalization (In 2 Volumes), chapter 32, pages 622-645, World Scientific Publishing Co. Pte. Ltd..
    • Handle: RePEc:wsi:wschap:9789814280280_0032
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