Price and Service Bundling: An Example of the Telecommunications Market in Poland
Ilona Bondos
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Ilona Bondos: Maria Curie Sklodowska University, Poland
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Abstract:
The main objective of this paper is to present the essence of price packages on the example of telecommunications services in Poland. In the theoretical part of article the author pointed out the related definitions that define this pricing tactics, the issue of legality is also highlighted The author also indicated on benefits of price bundling from the perspective of the buyer and the seller. In the second part of the article secondary sources of information about bundled services were used in order to illustrate scale of price packages application on the market of telecommunications services in Poland. The author analyzed the content of the reports published by the Office of Electronic Communications in Poland (reports from the years 2010-2013). In order to make comparison Poland against other countries in EU, date from the OECD Digital Economy Papers and the European Commission Report were used. Packaged services in Poland are growing in popularity among buyers on telecommunications market. Similarly as in the EU the most popular packages are double -plays, but in Poland dominate fixed services. In view of the changing pattern of consumer - greater requirements, higher level of awareness of their own needs, good orientation with regard to market offer - service providers should put more emphasis on the value of the offered package, not only its price attractiveness. Customers do not expect the lowest prices, they expect offer, the value of which will justify required price.
Keywords: price bundling; bundled services; telecommunications market in Poland (search for similar items in EconPapers)
Date: 2014
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Persistent link: https://EconPapers.repec.org/RePEc:tkp:mklp14:427-436
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