Optimal Pricing Strategies of 3G Data Plan for Cellular Phones
Date Issued
2012
Date
2012
Author(s)
Wei, Shin-Ming
Abstract
Smartphones become more popular in our life through the rapid development of technology. More and more people use the smartphone to surf the web, send email, watch online TV and listen to online music. Therefore, the demand of using cell phone to access to the internet is sharp increased. However, the 3G network face the congestion problem because of the increasing demand. Many users are complaining the slow speed of their internet connection. In order to solve the congestion problem, one of the things the cellular operators can do is buying more radio spectrum, but the radio spectrum is scarce and is limited by government. Thus, the cellular operators should think other ways to solve it. Adjusting the pricing model is another way which the operators can adopt.
In this thesis, we will do a survey to understand the users of 3G data first. After we get the result of the survey, we will formulate five pricing models of 3G data plan based on revenue management, and use the queueing theory to evaluate the degree of congestion. We will focus on the relationship between the revenue and the degree of congestion, and find the best model for the cellular operators.
The results of this thesis are showed in the following: (1) if the more people choose the unlimited data plan, the 3G network will be more congested. However, the prices of the other existing data plans in the market are too high, and those make the user choose the relatively reasonable plan-unlimited data plan. (2) That the price of unlimited data plan decrease will increase the quantity demanded of unlimited data plan and erode the operator’s revenue. (3) In order to keep the revenue, we could not cancel the unlimited data plan. We should design a new model based on unlimited data plan to solve the congestion problem. (4) Time-based discrimination is more efficient than group discrimination in 3G data plan.
Subjects
Price Discrimination
Revenue Management
3G
Queueing Model
Optimization.
Type
thesis
File(s)![Thumbnail Image]()
Loading...
Name
ntu-101-R99741046-1.pdf
Size
23.32 KB
Format
Adobe PDF
Checksum
(MD5):2d1495337f6547453b42e7de85f21137