Interdependencies.in.Value Networks.for.Mobile.Services

The advent of new electronic platforms is forcing firms from a range of industries to come
together in so-called �value networks� for the provision of innovative mobile services. Yet
the rapid evolution of mobile services has left many issues unresolved. The problems of
interest to us include uncertainty with respect to the complex networks that are involved in
delivering these services. In environments of increasing electronic interaction, the value chain
concept, where materials are moved sequentially down a supply chain, has been replaced
by the value network, which is a dynamic network of partnerships and information flows
(Bovel & Martha, 2000), changing as customer preferences change. This phenomenon is also
taking place in the telecommunications industry (Li & Whalley, 2002; Maitland, Bauer, &
Westerveld, 2002; Sabat, 2002). We aim to understand the interdependencies among actors
involved in delivering mobile services in general, and mobile information and entertainment
services and location-based services in particular in terms of their contribution to value
creation. To this end, we adopt a resource-based perspective.
We consider a number of innovative cases of mobile information and entertainment services.
Such services involve the delivery of information and entertainment content to a
mobile user. Since these services typically require collaboration of a range of actors across
different sectors, our analysis encompasses the entire �value network� of firms involved in
making the service available. Whilst research on value networks for mobile services could
be approached from several angles, including network formation, strategic management,
and so forth, here we focus on resources and interdependencies. We investigate the actual
constellation of actors: what are their resources, how are they interdependent, and what do
they contribute to the value network? Is content really king?
The chapter is structured as follows. We begin with a brief review of relevant literature to
provide a basis for our analysis of several mobile information and entertainment services. In
particular, we examine the interdependencies among actors in the value networks and how
their contribution to value creation determines their strategic position within the network.
These tools are then used to analyse each of the five case studies of specific services. In the
cross-case analysis, we collate and discuss the findings from the cases, paying particular
attention to the role of content and the position of content providers. We conclude with the
implications of our research for the literature on value networks and point to further areas
of research.