Design of an innovative business model for mobile virtual network operators

Abstract

Purpose: The article studies a possible innovative business model for sustainable competitive advantage in current communication technologies. Methodology/Approach: This ethnographic approach consists of contextual interviews with company managers and specialists. Scientific observation and comparison took preference over other methods for the evaluation of results. Comparison methods were used for comparing price levels of telecommunication services within OECD countries and used for characterizing virtual operators. This method of modelling was applied to both corporate process-design and functions. Findings: This paper proposes a normative model as the foundation for a virtual operator that would be generally applicable by any potential newcomer to the budding virtual telecommunication market. Research Limitation: Business model innovation in the virtual mobile operator area is a quite new concept, which is still under development. For that reason the validation of the model has not been fully completed until now. Originality/Value of paper: The paper demonstrates this quite new approach to business model development and its possible application in the area of virtual mobile operators.