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Analysis Of Singapore Telecom

Introduction | The National Context: Singapores national Development And Infrastructure Policy | The Industry Context: Trends In The Telecommunications Industry. | SINGAPORE TELECOMS STRATEGY, PERFORMANCE, AND LOCAL COMPETITIVE CONTEXT | WHAT DOES THE FUTURE HOLD? | * Telecoms Chairman statement * Despites successful transition, now facing major challenge * Competition in its primary market * The impact of its performance during Asian crisis * Technological advancement. E.g. bypass the networks of local provider when making oversea call and deprive the firm of its sources of income. * The barriers that protected Telecoms appeared to be in danger of crushing. * The possibilities of negative growth for the year end unless there is a significant recovery of economy in the regions. | * National Development * To develop a world-class info communicating industry * Rapid economic development that closely integrating with global trade and development. E.g. accepting heavy foreign investment and attracting Multinational Corporation. * Establishing facilities. a world-class transportation and materials-handling *

* Providing financial support, protection, and managerial talent IT2000, a vision of an Intelligent island * Infrastructure Policy

* By developing a sophisticated telecommunication & IT infrastructure. * Allow more free market approach to the industry * Gradually privatize ST & allow competition in the industry | * The Global Competitive Environment * Deregulation, technological advancement,Privatization and consumer demand are the main issue in the highly profitable industry. * Competition exerting pressure on the price level resulting falling in marginal profit in order to sustain profitability & volume * Global organization pushes toward more open and competitive markets create an effect on the telecom industry. * Japan & Hong Kong were...

Singtel Case Study


Introduction The ever-changing telecommunication industry is shaped by many factors in which if any players of the market is slow to react to consumer wants and needs, it will find itself soon out of business. Being a monopoly of Singapore telecommunication market, Singtel was previously able to earn large profits even if they were slow and inflexible to consumer demands. However such a regulatory advantage was removed in 1997 and in fact, they have lost a substantial market share to their new competitor within three weeks of entry. Furthermore, as Singapore telecommunication market is reaching saturation, Singtel would find it less profitable to invest heavily in state-of- the art technology in its home country since the demand may be too small. Moreover the revolution of companies doing business globally shows that there are ample opportunities for Singtel to move from a single domestic market producer to doing business in multiple countries. This will be an opportunity to secure corporate clients who will require an integrated telecommunication service across several geographical regions in the world. In addition, telecommunications provider could bundle a package of services that includes corporate lines as well as consumer lines as their marketing tactic, therefore Singtel faces the possibility of losing consumer business if they fail to capture the market for corporate lines. Looking at the telecommunications growth in other foreign countries (Exhibit 4), we see that many countries have increased their number of lines from year 1990 to 2000. For countries that have low growth rates, it could well indicate a high demand for basic telecommunication services in the coming years. Thus if Singtel were to bring along its technological competencies and efficient production capabilities into such market, they could possibly capture the foreign market shares . As for the relatively affluent countries which already have the basic telecommunications services,...

Issues Facing Singapore Telecoms


Singapore Telecoms is the Asias leading communications company that provides a diverse range of communication services and solutions, including fixed, mobile, Internet, info-communications technology and satellite. Standing as one the most profitable Singapore firm with a profit of $1.88 billion for the financial year 1998/1999 despite Asian is having an economic downturn at that period of time. Singapore Telecoms has 120 years of operating experience in Singapore and has played an integral part in the development of the country as a major communications hub.

In these recent years, there were several issues that Singapore Telecoms have been facing. First and forth most, with the governments good intention to privatize Singapore Telecoms in order to liberalize the industry, it introduces competition in the once monopoly market of telecommunication industry. New players like MobileOne (M1) came into the picture in April 1997, vying for the mobile sectors market share. In just two year time, it had successfully taken 32% of the market share mainly due to its marketing savvy, attention to customer services and network quality. Singapore Telecoms had started price wars with this new competitor and had a record of slashing its rates twice within a day in order to countermove its competitors strategy. Up and coming competitor like StarHub, which is backed by some largest global telecoms providers will be make available in the market providing fixed line services. With these competitors coming into the industry, Singapore Telecoms is forced to be innovative in its strategy in order to maintain its position as the leading service provider. Secondly, with the impact of the Asian crisis that happened in 1998, it affected majority of the Asian countries as well as the businesses in Singapore. Singapore Telecoms closed its Financial Year 1998/1999 with a drop 1.2 percent in its revenue, operating profits decreases by 10.5 percent and operating expenses rose by 6...

Singtel Services
SINGTEL OVERVIEW In 1879, 3 years after Alexander Graham Bell patented his telephone invention, Mr Bennet Pell started a private telephone exchange in Singapore that had 50 lines and made Singapore one of the first cities in the East to have telephone service. Singapore Telecommunications Limited was formerly known as Telecom equipment and is singapore largest telecommunications company.

Swot-Singtel
To analyse the issues that are facing Singapore Telecom (SingTel), Im using the Internal Analysis. Internal analysis is the systematic evaluation of the key internal features of an organization . This is the area where organization will find it difficult to do well in. It focuses on the strengths and weaknesses that give the organization certain advantages and disadvantages in providing the needs of its target markets. Strengths is usually related to its competitors as the organizations core competencies as it give the organization, in this case, Singapore Telecom an advantage over its competitors in offering a total service provider of the telecoms business Weaknesses on the other hand refer to the restrictions that SingTel faces when developing or implementing their strategy. This should be assessed from a customers viewpoint as customers often identifies frailty that SingTel cannot see. These are the issues that are facing SingTel. 1998 1999 Asia regional economic crisis Economic growth slowed down. Downward pricing. High employees turnover rates. Faced increasing competition locally and abroad Entry of M1 in 1997 and StarHub (in fixed-line telecoms sector) in 1999. Corporate customers high expectation. Threatened by the deregulation, privatization and technological advancement Falling profit margin. Internet telephony/Virtual Private Networks. Wireless communication with mobile phones. Competition from foreign callback service. Sophisticated and demanding customers Expects a consistently high quality of service and supported the liberalization of telecoms markets and global unification of technological and regulatory standards . SingTel is the bigger culprit in trying to confuse consumers in charging different rates. Foreign investments China and India telecommunications infrastructure undeveloped. Service availability and quality lagged. England and Western Europe investment were not profitable.