Lobbying and litigation in telecommunications markets – reapplying Porter’s five forces

Abstract

Purpose – The purpose of this paper is to consider extending the Porter “five forces” model for business strategy to encompass nonmarket actions in the telecommunications sector. Design/methodology/approach – The Porter five forces model is reviewed in terms of a heavily regulated sector, examining each force in turn, with examples of the use by market players of lobbying and litigation to affect market outcomes. Findings – The “five forces” model is a useful tool in analysing advocacy, lobbying and litigation by players in a heavily regulated market. Practical implications – The extension opens the way to research in a number of areas to examine issues of structure and strategy, effectiveness in coupling market and nonmarket strategies. Originality/value – Business strategy is infrequently analysed in the telecommunications sector and only rarely considers lobbying and litigation. This article provides a framework for such analyses and opens up new areas of research.