Use of multistage optimisation technique in formulation of strategies to reduce customer churn problem facing internet operators in Zimbabwe

摘要

Internet is now considered indispensible in Zimbabwe's economic and social structures and world over. Jostling of operators to provide internet services has seen competition rise in Zimbabwe, leading to customer churn. The problem has tossed so many telecoms companies. Customer churn refers to the propensity to cease doing business with a company in a given time period. Companies are struggling to keep their customers from defecting. What then needs to be done? Formulation of robust set of strategies may be the solution to this headache. This paper seeks to come up with a model for strategy formulation, in order to establish strategies that reduce customer churn. The SWOT analysis, AHP and Linear Programming model were used to find the optimal strategy that would be implemented by the case study company, so as to reduce customer churn. The paper not only demonstrates strategy formulation using the model, but enlighten on the need to use quantitative analysis in strategy formulation.