A game-theory analysis of a multi-channel strategy in the mobile service value chain

Considering the practice of revenue sharing in Chinese mobile telecommunication, the article constructs a game theory model of the mobile commerce value chain which is composed of a mobile network operator (MNO) and a service provider (SP). Based on the equilibriums and simulations, the research findings are as follows: any partnership mode can be dominating for both MNO and SP, and the mobile Internet service of the SP brings direct and indirect profits to the MNO, plays a coordinating role with certain circumstance. The revenue sharing ratio of the MNO in cooperative service should adjust with the partnership mode. When choosing partnership mode, the MNO and the SP should consider the comparative marketing advantage of the MNO, and the unit value chain-wide revenue ratio of the mobile Internet service to the cooperative service.