Research on Strategic Decision of Proper Transition from 2G to 3G

The issue of the 3G licenses represents the initial takeoff of 3G service in China. How to coordinately develop the 2G and 3G service and what are the strategies during the transitional period from 2G to 3G become hot topics within the industry. The scientifically transitional strategy plays a very important role in the development of mobile industry. However, there are seldom quantitative decision models on this area so far. This paper finds out the strategic balance point between 2G development and 3G promotion from the perspective of maximizing the benefit of the telecom operator. It firstly analyzes the realistic situation in 3G transitional period, as well as the coexistence relationship of 2G and 3G, on the basis of which it makes the profit model, and then further builds the strategic decision model. Finally, it puts forward the strategy decision method and suggestions.