Value Chain Analysis and Attractiveness of the Telecommunications Industry in Mongolia

¹ Institute of Technology and Business in České Budějovice, Faculty of Corporate Strategy, Okružní 517/10, 370 01 České Budějovice, Czech Republic
² Mongolian University of Science and Technology, School of Business Administration and Humanities, 8th khoroo, Baga toiruu 34, Sukhbaatar district Ulaanbaatar, Mongolia 14191, Mongolia

^* Corresponding author: jambal@mail.vstecb.cz

Abstract

During the 4th Industrial Revolution and the 3rd Wave of Digitalization, the telecommunications sector developed rapidly and played a key role in accelerating economic development and competitiveness. Researchers and experts point out that the sector is an important tool to directly and indirectly support the implementation of the 17 goals of the 2030 Sustainable Development Goals. In this context, a demand it is important for the information and communications technologies (ICT) companies to make strategic changes, modernize their business processes, analyse key technology operations, and evaluate the effectiveness of supply, human resources, financial, and management policies. In order to create a distinct competitive advantage, key activities in the sector, such as procurement, internal operations, and sales channels, will be strategically coordinated, and human resources, technology, finance, and management will be configured to assist. Therefore, industry-wide value chain analysis will explore the challenges related to the supply of information and communication raw materials, technology-based cooperation, and legal and regulatory issues. This research aims to assess the value chain of the telecommunication services and define the gaps, which are drawbacks of the development. This paper will be a foundation for further studies on industry profitability and competitiveness by focusing on the areas that are essential to value creation in end-to-end services such as mobile communications, internet, and cable television.