Competitive advantages of the mobile phone operators in the Asia Pacific region: analysis from the strategic groups approach

ABSTRACT

This paper studies the existence of strategic groups in the mobile phone industry. The analysis has been conducted in an international context characterised by major differences in regional wireless infrastructures, types of customers, government regulations and economic development, such as the Asia Pacific region. The purpose is to find the competitive advantages of the groups identified and the strategies that have led them to achieve them. The empirical research was carried out using data from a sample of the 28 largest firms of the industry in 2013. The results reveal the existence of three different strategic groups pursuing different strategies. The main determinant variables of the competitive advantages are price and size. The differences in environmental characteristics in this industry might explain the formation of strategic groups.

KEYWORDS:

• Asia Pacific region
• competitive advantages
• mobile phone industry
• strategic groups

Acknowledgements

We also thank the editor and two anonymous reviewers for their insightful comments that helped improve the contribution and quality of this manuscript.

Disclosure statement

No potential conflict of interest was reported by the author.

Notes on contributors

Mónica García-Ochoa Mayor is professor of Management at the Complutense University of Madrid. She received a PhD in Business Administration from Pontificia Comillas University of Madrid, Spain, in 2000. She has professional experience as a consultant at Deloitte. She currently focuses her research on technological innovation and business strategies and on policies in telecommunications.

Nuria Bajo Davó is professor of Finance at the Autonoma Univeristy of Madrid. She received a PhD in Business Administration from Pontificia Comillas University of Madrid (with distinction). She previously worked in the private sector in various capacities including as a researcher for the Madrid Stock Exchange and Ernst & Young and as a manager of the analysis department of an independent portfolio management society. She has published numerous manuals and scientific papers and has presented her work at international congresses.

Additional information

Funding

We would like to thank the Spanish Ministry of Science and Innovation for the financial support given to this research project under contract: NATIONAL PLAN I+D+i 2008–2011 – Sub-Project of Fundamental Research REFERENCE: ECO2010-19787 (sub-project ECON).