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Portela, S. & Menezes, R. (2016). Estimating a customer churn model in the ADSL industry in Portugal: The use of a Semi-Markov model. International Journal of Management, Business, and Economics. 3 (1), 121-129

S. M. Portela and R. M. Menezes,  "Estimating a customer churn model in the ADSL industry in Portugal: The use of a Semi-Markov model", in Int. Journal of Management, Business, and Economics, vol. 3, no. 1, pp. 121-129, 2016

@article{portela2016_1734884329422,
	author = "Portela, S. and Menezes, R.",
	title = "Estimating a customer churn model in the ADSL industry in Portugal: The use of a Semi-Markov model",
	journal = "International Journal of Management, Business, and Economics",
	year = "2016",
	volume = "3",
	number = "1",
	pages = "121-129",
	url = "http://www.ijmbe.net/home"
}

TY  - JOUR
TI  - Estimating a customer churn model in the ADSL industry in Portugal: The use of a Semi-Markov model
T2  - International Journal of Management, Business, and Economics
VL  - 3
IS  - 1
AU  - Portela, S.
AU  - Menezes, R.
PY  - 2016
SP  - 121-129
SN  - 2408-1914
UR  - http://www.ijmbe.net/home
AB  - Customer churn has been stated as one of the main reasons of profitability losses in the
telecommunications industry. As such, it seems critical to have an a priori knowledge about the risk
of a given customer to churn at any moment, in order to take preventive measures to avoid the
defection of potentially profitable customers. This study intends to develop a duration model of the
residential customer churn in this industry in Portugal. We found empirical evidence that the
variables that influence customer churn are the total number of overdue bills since ever, average
monthly spending, average value of additional internet traffic, payment method, equipment renting,
and the subscription of a flat plan. We also found that the probability of a customer to churn is
neither constant over time nor across customers. 
ER  -