The Impact of Capital and Operating Expenditure on Performance and Quality of Mobile Services Delivered to Customers. DEA and PCA Approach.

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The Impact of Capital and Operating Expenditure on Performance and Quality of Mobile Services Delivered to Customers. DEA and PCA Approach.

Abstract

The purpose of this study was to give an overview of typical costs incurred in network planning and operation in the area of telecommunications business, and how these cost incurred impacts on quality of mobile service provided to subscribers. Firstly, estimates for Capex and Opex are studied, together with key performance indicators (KPI). This is done to assess how expenditures incurred by mobile operator’s impact quality of mobile service delivered to subscribers and revenue. The results indicate that efficiency scores based on DEA and ANN estimates show a repertoire of telco efficiencies, with regards to Capex and Opex inputs impact on defined outputs.

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