Mr. Hermann, from the scientific institute for Communication services in Germany, presented a paper about competitive strategies of Alternative Carriers in the German Telecommunications Market. While theses alliances announced to offer a full service portofolio on a national basis, they basically imitate the classical PTO model. Besides the three big alliances mentioned above a number of other players, which either focus on a certain region or on a particular customer segment, enter the German telecommunication market.
Some companies try to transfer the service provider model to the German mobile market.
So the generic competitive strategies pursued by the different classes of players are almost identical in order to get established, yet all competitors deliver a competitive advantage of a different quality. All these companies have very different assumptions regarding the sustainability of the different resources. It shows that every player assumes its own competitive advantage to be sustainable what of the the others is not. It can be concluded that due to the alternative carriers unrealistic assumptions regarding the future development of their respective market shares a concentration process may be expected.