Strategic Analysis

Strategic Analysis

Telecom Industry: Strategic Analysis

Industry Overview

The wireless telecommunications commerce worldwide has developed rapidly. The wireless penetration rate as at February 2011 was roughly 62 percent, which comprised more than 12 million wireless clients. And as asserted by Telecommunications Industry Reports, services market will boost by 6% moreover and an alike development is forecasted for the upcoming year; this resonates detail that wireless telephone services is highly comparable and stilling increasing fast. This paper is in writing proposed to get a better comprehending as well as to investigation present position of our chosen brand (Taylor & Harper, 2001, 35).

The telecommunications market is undergoing a stage of increasing competition, not only for the entry of new players (virtual operators, resellers minutes wholesale ADSL service) but by the convergence of technologies and services that blurs the boundaries between terminals and services between communications and computing. Consumers are benefiting from this increased competition in the telecommunications sector, with lower prices, facilities for changing operator and a greater variety of offerings. The company should also decide to continue its geographic expansion. The decision might not be easy because the experience of expansion may result in a resounding failure. The strong growth can be seen by inherent potential, the high value of diversification by geography and business, the efficient cost structure and the realization of synergies through integrated management of the company. Mature markets can generate benefits for emerging market penetration, which is what makes an engine of growth in revenue and net income. In this regard, with average annual growth rates of 8%, compared with increases of 6% in Africa and the Middle East and 2% in the regions of Europe and North America.

Background of the company

AT & T Corporation or American Telephone and Telegraph Company (a completely owned subsidiary of American Bell Telephone Company) was founded on third March 1885, New York. The main task was to organize and develop a growing loss of the American company Bell and its licensees. It took a long time as places of business 30th December 1899, when the company was supposed to target businesses and homes of American Bell and create Bell Business System. While most of his chronicle, the Company operated as a legally sanctioned, regulated monopoly. No battle was clear before 1970, since the outbreak in the major telecommunications companies in the U.S. and the world by1984, AT&T was only a triple-play service. The main activities of the area include long, AT&T Wireless Services, AT&T World Net Services, AT&T Solutions and Services division AT&T Universal Card. AT&T has a strong international event, scheduled in the last week of 1882, when he opened a factory in Antwerp, Belgium. AT&T has about 51,000 employees outside the United States, in 1994, international sales of only 25 percent. The company is now present in more than 100 countries of the world and operated in about 200 countries. (David, pp. 61-8)

In the last fifteen months AT&T has been divided into three distinct ...