Strategic Planning in Highly Dinamic Competitive Contexts - A Study of Italian Mobile Network Operators

Abstract

Strategic management formulation and implementation in highly dynamic competitive scenarios is a challenging task. This is the case of the Mobile Telephony segment of the Information and Communication Technology (ICT) industry. In this competitive setting, potentially disruptive changes in both marketing and technological dimensions are the norm, as attested by the recent decrease in voice-related revenues by Mobile Network Operators (MNO) and the consequent rise in mobile data traffic. In this context, this paper aims to contribute to the literature on Strategic Technology Management by proposing an interpretative framework to support strategic decision making in dynamic, competitive contexts characterized by disruptive changes in both technology and business dimensions. The proposed framework is based on empirical research conducted at the four MNOs operating in Italy and allows identifying drivers of potentially disruptive change and their implications on a firm’s business model. The framework use is illustrated through the analysis of the Italian Mobile Telephony industry. Finally, the research also highlighted the main strategic routes MNOs have at their disposal to face the turbulent competitive times ahead. These include specific strategic actions to cope with the issues of mobile bandwidth scarcity and decreasing voice-related revenues. A summary of MNOs future strategic positioning options is also