System dynamics report of telecom industry in China

Abstract

This article analyzes mobile carriers' competition strategies by using balanced scorecard and system dynamics. We use four indexes to evaluate the situations of 2 main Chinese telecom carriers like Internal Business Index, Financial index, Market & Customer Index, as well as Innovation and Learning index. According to these four indexes and system methodology, a system dynamics model is provided, which has 4 subsystems and 80 variables. Taking the government influences into consideration as well as companies' strategies and the corresponding system simulations, we try to use system dynamics as a new enterprise computing analyzing method and give competition suggestions to the two mobile carriers.