IDEAS home Printed from https://ideas.repec.org/a/eee/ejores/v261y2017i2p735-754.html
   My bibliography  Save this article

Modeling the Steering of International Roaming Traffic

Author

Listed:
  • Martins, Carlos Lúcio
  • Fonseca, Maria da Conceição
  • Pato, Margarida Vaz

Abstract

Telecommunications operators offering international roaming services need to decide to which foreign networks they should steer their customers towards, in order to benefit from the best wholesale commercial conditions. This operational managerial decision translates into a least-cost traffic routing problem for which five mixed integer linear programming models, corresponding to the most used commercial agreements in the industry, are hereby introduced. The models are based on a minimum cost flow problem over a layered network following an underlying year-planning managerial approach, with multi-period decision dependency and in the presence of uncertainty. A computational experiment is carried out using a comprehensive framework designed to generate structured semi-random instances that simulate realistic market and business scenarios. Results for this experiment are discussed according to business sustainability performance metrics and confirm the soundness of the models. Given the nature of the problem we consider that the computational effort required is low.

Suggested Citation

  • Martins, Carlos Lúcio & Fonseca, Maria da Conceição & Pato, Margarida Vaz, 2017. "Modeling the Steering of International Roaming Traffic," European Journal of Operational Research, Elsevier, vol. 261(2), pages 735-754.
    • Handle: RePEc:eee:ejores:v:261:y:2017:i:2:p:735-754
    DOI: 10.1016/j.ejor.2017.02.030
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0377221717301522
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ejor.2017.02.030?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Gendreau, Michel & Potvin, Jean-Yves & Smires, Ali & Soriano, Patrick, 2006. "Multi-period capacity expansion for a local access telecommunications network," European Journal of Operational Research, Elsevier, vol. 172(3), pages 1051-1066, August.
    2. Ambjørnsen, Terje & Foros, Øystein & Wasenden, Ole-Christian B., 2011. "Customer ignorance, price-cap regulation, and rent-seeking in mobile roaming," Information Economics and Policy, Elsevier, vol. 23(1), pages 27-36, March.
    3. Sutherland, Ewan, 2001. "International roaming charges: over-charging and competition law," Telecommunications Policy, Elsevier, vol. 25(1-2), pages 5-20, February.
    4. Infante, Jorge & Vallejo, Ivan, 2012. "Regulation of international roaming in the European Union—Lessons learned," Telecommunications Policy, Elsevier, vol. 36(9), pages 736-748.
    5. Paolo Lupi & Fabio M. Manenti, 2009. "Traffic Management In Wholesale International Roaming: Towards A More Efficient Market?," Bulletin of Economic Research, Wiley Blackwell, vol. 61(4), pages 379-407, October.
    6. Flippo, Olaf E. & Kolen, Antoon W. J. & Koster, Arie M. C. A. & van de Leensel, Robert L. M. J., 2000. "A dynamic programming algorithm for the local access telecommunication network expansion problem," European Journal of Operational Research, Elsevier, vol. 127(1), pages 189-202, November.
    7. Domínguez Lacasa, Javier, 2011. "Competition for Partners: Strategic Games in Wholesale International Roaming," 22nd European Regional ITS Conference, Budapest 2011: Innovative ICT Applications - Emerging Regulatory, Economic and Policy Issues 52159, International Telecommunications Society (ITS).
    8. Salsas, Roger & Koboldt, Christian, 2004. "Roaming free?: Roaming network selection and inter-operator tariffs," Information Economics and Policy, Elsevier, vol. 16(4), pages 497-517, December.
    9. Fabrizi, Simona & Wertlen, Bruno, 2008. "Roaming in the Mobile Internet," Telecommunications Policy, Elsevier, vol. 32(1), pages 50-61, February.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Baranes, Edmond & Vuong, Cuong Hung, 2021. "A model of international roaming regulation and competition in European mobile markets," 23rd ITS Biennial Conference, Online Conference / Gothenburg 2021. Digital societies and industrial transformations: Policies, markets, and technologies in a post-Covid world 238008, International Telecommunications Society (ITS).
    2. Alves, Amanda M. & Brousseau, Eric & Mimouni, Nada & Yeung, Timothy Yu-Cheong, 2021. "Competing for policy: Lobbying in the EU wholesale roaming regulation," Telecommunications Policy, Elsevier, vol. 45(3).
    3. Barua, Bidushi & Matinmikko-Blue, Marja & Latva-aho, Matti, 2019. "On Design of Contracts Between Traditional MNOs and Local 5G Micro Operators," 30th European Regional ITS Conference, Helsinki 2019 205166, International Telecommunications Society (ITS).
    4. Benno Buehler, 2015. "Do International Roaming Alliances Harm Consumers?," Journal of Industrial Economics, Wiley Blackwell, vol. 63(4), pages 642-672, December.
    5. Ambjørnsen, Terje & Foros, Øystein & Wasenden, Ole-Christian B., 2011. "Customer ignorance, price-cap regulation, and rent-seeking in mobile roaming," Information Economics and Policy, Elsevier, vol. 23(1), pages 27-36, March.
    6. Orhan Dagli & Glenn P. Jenkins, 2015. "Consumer Preferences for Improvements in Mobile Telecommunication Services," Development Discussion Papers 2015-05, JDI Executive Programs.
    7. Corte-Real, Margarida & Gouveia, Luís, 2010. "A node rooted flow-based model for the local access network expansion problem," European Journal of Operational Research, Elsevier, vol. 204(1), pages 20-34, July.
    8. Benno Bühler, 2009. "Do International Roaming Alliances Harm Consumers?," Working Papers 2009.93, Fondazione Eni Enrico Mattei.
    9. Tangerås, Thomas P. & Tåg, Joacim, 2016. "International network competition under national regulation," International Journal of Industrial Organization, Elsevier, vol. 47(C), pages 152-185.
    10. Giulia Canzian & Gianluca Mazzarella & Frank Verboven & Stefano Verzillo & Louis Ronchail, 2021. "Evaluating the Impact of Price Caps - Evidence from the European Roam-Like-at-Home Regulation," CESifo Working Paper Series 9303, CESifo.
    11. Fabio Manenti & Paolo Lupi, 2006. "Roaming the Woods of Regulation: Public Intervention vs Firms Cooperation in the Wholesale International Roaming Market," "Marco Fanno" Working Papers 0019, Dipartimento di Scienze Economiche "Marco Fanno".
    12. Domínguez Lacasa, Javier, 2011. "Competition for Partners: Strategic Games in Wholesale International Roaming," 22nd European Regional ITS Conference, Budapest 2011: Innovative ICT Applications - Emerging Regulatory, Economic and Policy Issues 52159, International Telecommunications Society (ITS).
    13. Fabrizi, Simona & Wertlen, Bruno, 2008. "Roaming in the Mobile Internet," Telecommunications Policy, Elsevier, vol. 32(1), pages 50-61, February.
    14. Morten Falch & Reza Tadayoni, 2014. "Regulation of international roaming data services within the EU," International Economics and Economic Policy, Springer, vol. 11(1), pages 81-95, February.
    15. Muñoz-Acevedo, Ángela & Grzybowski, Lukasz, 2023. "Impact of roaming regulation on revenues and prices of mobile operators in the EU," International Journal of Industrial Organization, Elsevier, vol. 89(C).
    16. Gendreau, Michel & Potvin, Jean-Yves & Smires, Ali & Soriano, Patrick, 2006. "Multi-period capacity expansion for a local access telecommunications network," European Journal of Operational Research, Elsevier, vol. 172(3), pages 1051-1066, August.
    17. Haucap Justus & Heimeshoff Ulrich & Stühmeier Torben, 2011. "Wettbewerb im deutschen Mobilfunkmarkt," Zeitschrift für Wirtschaftspolitik, De Gruyter, vol. 60(2), pages 240-268, August.
    18. Martin Quinn & Miguel Godinho de Matos & Christian Peukert, 2022. "The Welfare Effects of Mobile Internet Access - Evidence from Roam-Like-at-Home," CESifo Working Paper Series 9612, CESifo.
    19. Sun, Yanshuo & Schonfeld, Paul, 2015. "Stochastic capacity expansion models for airport facilities," Transportation Research Part B: Methodological, Elsevier, vol. 80(C), pages 1-18.
    20. Foros, Øystein & Kind, Hans Jarle & Sand, Jan Yngve, 2009. "Entry may increase network providers' profit," Telecommunications Policy, Elsevier, vol. 33(9), pages 486-494, October.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ejores:v:261:y:2017:i:2:p:735-754. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/eor .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.