Research On Strategy Of Telecom Operators And Virtual Operators Based On Evolutionary Game

In order to introduce private enterprises into the telecommunications industry,the state launched pilot work for virtual operators.Virtual operators take full advantage of cross-border advantages on the basis of traditional operator communication resources,thereby optimizing communication services and providing users with more customized and personalized services.As of the end of 2017,the total number of virtual operators has exceeded 60 million,but only one-third of them achieved profitability.At present,virtual operators still have many problems,such as low user appeal,poor service quality,and lack of user experience,due to the internal causes of their own operations and the external causes of the traditional operators' cooperation environment.In 2018,on the occasion of the commercialization of mobile communication resale business,whether virtual operators can use technological means and business model innovations to identify market segments that are in line with their own corporate strengths and capabilities,achieve refined operations,and use high-quality products.Service access to the market will be the key to gaining breakthrough development for virtual operators in the future.The evolutionary game is to analyze the decision-making behavior of participants from the assumption of bounded rationality.Each participant can think and summarize according to his own game results and then carry out the next game strategy,gradually reaching the final game equilibrium.The players that require the game are all made up of groups,not just individual individuals.Telecommunication operators and virtual operators are two kinds of bounded rational groups,and there are multiple choices of strategies,which are consistent with the application conditions of evolutionary games.Therefore,evolutionary games can be applied to solve the problem of strategic choices of both parties.This article attempts to analyze the game relationship between imitation and innovation between telecom operators and virtual operators from the perspective of evolutionary game.The study found that when the benefits of both parties' innovations outweigh the costs,the game has two possible outcomes.Both parties choose to innovate or both parties choose to imitate.The reduction in the degree of risk of innovation,the increase in the unit user benefit brought about by innovation,the reduction in input costs for innovation,and the increase in user growth brought about by innovation will increase the probability of innovation on both sides.When the benefits of both innovations are less than the cost,the final outcome of the game is that the two sides choose to imitate the strategy.When the revenue generated by telecom operators'innovation is greater than the cost,and the benefit brought by the innovation of virtual operators is less than the cost,the game result is that both parties choose the imitation strategy.When the revenue generated by telecom operators'innovation is less than the cost,and the benefit brought by the innovation of the virtual operator is greater than the cost,the game result is that both parties choose the imitation strategy.This article also studies the relationship between cooperative innovation and independent innovation strategy between telecom operators and virtual operators.The study finds that the factors that influence the choice of strategies include the incremental users caused by independent innovation and cooperative innovation,and the risks of cooperative innovation.Innovation risks,knowledge spillovers,user benefits of individual innovation units,user benefits of cooperative innovation units,and an optimal distribution ratio of cooperative innovation revenues can maximize the probability of cooperation and innovation between the two parties.Then it introduced the government's punishment and reward mechanism,and then conducted a numerical example analysis and verification model.To sum up,this paper establishes an evolutionary game model for innovation and imitation strategies between virtual operators and telecom operators,as well as independent innovation and cooperative innovation strategies,and analyzes the impact of different factors on game outcomes,and Telecom operators and virtual operators provide development suggestions from three perspectives.