Service Providers and Their Ecosystem in Globalization 2.0
These are interesting times for service providers (SPs). They are undergoing a huge internal transformation toward an increasingly IP-based production environment. Additionally, they are aspiring to capture the benefits of globalization by providing communications services in emerging and mature economies, and by optimizing their supply chain across the globe. This is Globalization 2.0 – the concurrent change of expanding their footprint and the adaptation of the underlying product portfolio, as conceptually shown in Fig. 1. The key difference between Globalization 2.0 and Globalization 1.0 is that the evolution of product portfolios across different geographies has progressed and is more diverse. Because of this, the individual service provider will not be in a position to control or steer this market transition. As the transition arises, many SPs will find embedded opportunities and will aspire to capture benefits in the area of cost and revenue. They must, however, prepare to do so successfully.
KeywordsSupply Chain Service Provider Business Model Product Portfolio Market Transition
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