This post is based on my reading of “A Fit for GrowthSM Framework for Telecom Operators: Aligning Capabilities, Costs, and Structure” by Martin Reitenspiess, Christine Rupp, Hannes Gmelin, and Chady Smayra, via Booz & Co.
It is an attempt to reconstruct the proposal made in the publication by drawing analogies to other pieces of work. This publication (from April 2013) from Booz & Co proposes a “Fit for Growth” framework to transition from price-based competition strategy to differentiation strategy. Not surprisingly the industry in question, Telecom, is industry characterized by the following observations:
- Stagnating market due to saturation of primary revenue sources
- Declining margins accompanied by price competition
- Substitute OTT (over-the-top) technologies hurting the basic product offerings
- Shift in consumer behavior demanding higher capital investments in technology upgrades
The figure below depicts the three tier approach proposed by the framework (the process above) and my simplistic interpretation…
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