Business Model Study Of China’s Telecom Operators’Platform Business

Since the competition grew, China’s telecom operators released lots of platform business with the obvious feature of two-sided market. But this platform business did not demonstrate a wonderful development situation. There had been a lot of problems referring in the design of business model, such as the needs mining and coordination mechanism was not good and the price could not attract the users and so on. So it was important to optimize the business model of China’s telecom operators’platform business.This paper firstly analysis the development process of China’s telecom operators’ platform business based on the theory of Business Model, Customer Participation and Two Side Market. It was found that the root problem was the business model which is designed based on the one side market was not suitable for the platform business which was in two side market. Specifically, the capacity of resource consolidation and profits adjusting was weak. Then, in reference to the advanced experience of the operation of the platform business at home and abroad, this paper systematically proposed the optimizing model of resource combination and interests coordination. Finally, the detailed improved strategies of capacity were given to.In particular, there was some innovation in three factors in this paper. Firstly, it was presented that the value proposition of China’s telecom operators’ platform business which realized resource combination and interests coordination of two sides users in two side market for win-win; Secondly, this article introduced the model of resource combination with realizing customer participation which was based on the communication platform and the main route of intercommunion as well as information-sharing. The forward users realized customer participation by taking part in the sessions of design, management, marketing and so on. And the backward users realized customer participation depending on the capacity which was given by China’s telecom operators; Thirdly, the model of interests coordination following the two side market rules was proposed. The low price even free charge was given to the forward users while the high price was given to the backward users. And it was needed to use other way to increase the total income of backward users such as advertising.