Research on Supervision on Mobile Value-Added Services Based on Game Theory

Abstract:

Since powerful supervision on the mobile value-added services lacks nowadays, the mobile market goes in to a tendency of being rather chaotic. This research will analyze the behavior of both the service providers and mobile operators, with game theory model to be established. Moreover, the Nash Equilibrium will also be considered which shows that the costs and extent of the mobile operators supervision besides the penalty for the service providers being caught will definitely influence the probability for service providers to violate the rules. On the other hand, the proportion of illegal gains shared by mobile operators and the penalty degree for service providers may be the main factors that affect the mobile operators supervision choices. At last suggestions are made on the service providers strategic choices.

• Periodical: Applied Mechanics and Materials (Volumes 195-196)
• Pages: 922-926
• DOI: https://doi.org/10.4028/www.scientific.net/AMM.195-196.922
• Online since: August 2012
• Authors: Di Zhao, Chuan Liang Jia
• Keywords: Game Theory, Mobile Value-Added Market, Supervision Strategies

References

[1] Zhou Jing, Development and operation mode of mobile value-added services, Telecommunications Network Technology, 3rd issue, 2003 (in Chinese).

[2] Liao Jianxin, Evolution trends of mobile value-added services, Telecom Engineering Techniques and Standardization, 5th issue, 2004 (in Chinese).

[3] Ferdinand Jaspers,  Willem Hulsink; and Jules Theeuwes, Entry and Innovation in Maturing Markets: Virtual Operators in Mobile Telecommunications, Technology Analysis & Strategic Management, Volume 19, Issue 2 March 2007 , pages 205 - 225.

DOI: 10.1080/09537320601168144

[4] Ji Jianan, Research on Supervision Strategies in China Mobile Value-added Market Based on Game Theory, Computer Engineering and Application, 2007 (in Chinese).

[5] Tao Li, An analysis of the feasibility of the inter-linkage and cooperation of China's telecom industry under the WTO rules: from the angle of the game theory, Journal of Chongqing University of Post and Telecommunications(Social Sciences Edition), 5th issue, 2005, (in Chinese).

[6] Zhang Xinrui, Research on value—added equilibrium of the complex supply chain networks, Journal of Business Economics, 7th issue, 2007, (in Chinese).

[7] Dimitris Katsianis, A game theory modeling approach for 3G operators, NETNOMICS, Vol. 8, No. 1. (1 October 2007), pp.71-90.

DOI: 10.1007/s11066-008-9022-1

[8] Anthony Di Benedetto, Modeling Rationality in Marketing Decision Making with Game Theory, Journal of the Academy of Marketing Science, Vol. 15, No. 4, pp.22-32, Winter (1987).

DOI: 10.1007/bf02723287

[9] Xu Tong, Prospect on Development of Mobile Value-added Service and Network, Telecom Engineering Techniques and Standardization, 9th issue, 2004, (in Chinese).

[10] Li Shan, Global Mobile Value-added Services, World Telecommunications, 4th issue, 2005, (in Chinese).

[11] Aumann, Robert J. (1987), game theory, The New Palgrave: A Dictionary of Economics, 2, p.460–82.

[12] Aumann, Robert J., and Sergiu Hart, ed. (1992, 1994, 2002). Handbook of Game Theory with Economic Applications, 3 v., Elsevier. Table of Contents and Review Article.

[13] McMillan, J. (1996). Games, Strategies, and Managers: How Managers Can Use Game Theory to Make Better Business Decisions. USA, Oxford University Press.

[14] Rasmusen, Eric (2006), Games and Information: An Introduction to Game Theory (4th ed. ), Wiley-Blackwell.