Pest analysis in telecom

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Pest analysis in telecom

You will need to discuss the various aspects relating to these points in relation to the organisation. You should conclude whether this is a good industry to compete in and whether the company is in a good position. In Telecom Pest analysis in telecom out to be one among the foremost company throughout the globe to be completely privatised telecomgroup.

In the present day, the company holds a noticeable level of operational scale in the telecommunications industry of New Zealand. Telecom Corporation also provides internet, mobile and fixed line calling along with data and voice facilities.

Additionally, it also provides IT consulting, execution and procurement and lastly, equipment sales and installation facilities telecomgroup. The corporation provides its services through several divisions including Xtra, Gen-i and PowerTel. Moreover, other weaknesses related to Telecom Corporation New Zealand in particular are diseconomies to scale, low market share and lack of diversification.

Moreover, other threats faced by Telecom corporation are cheaper technology, economic slowdown, external variations including government, taxes, etcchanges in exchange rate, threat posed by competitors and price wars. Political Factors The political forces related to the telecom segment are the ways in which the government interferes in the industry procedures and activities Kavassalis, Telecom Corporation has to abide by various laws imposed by the government on the tariffs and products offered by the company.

Pest analysis in telecom

All new and existing technologies and products need to follow a strict set of rules laid by the government. There exists the need to offer best facilities to the customers that to at a price lower than the competitors.

However, the company had to increase the prices at the time of worldwide recession. Social Factors Some of the major social forces which have affected the telecom segment New Zealand are those associated with safety and effectiveness Malerba and Orsenigo, There has been an increase in the desire for mobile phones which include basic features like alert for messages, camera, internet etc.

Safety and easy accessibility with respect to mobile phones must also be considered by the company. Telecom Corporation makes sure that all the operations of the company are carried out taking into account the environment in which it operates. Technological Factors The rate of technological modification is vital in the telecommunication segment.

In this continuously changing business environment, company like Telecom Corporation needs to make sure that it offers products and services that are exceptional and innovative Armstrong, The company must ensure that it develops to new models of communication devices and phones at a continuous fast rate.

There exists the need for the company to remain up-to-date about the latest techniques and what customers prefer the most. Porters Five Force Analysis According to Porterthere are five key forces that shape and influence every business and industry. In order to cover huge fixed costs there exists, the need to put in large amount of funds.

Power of Suppliers It might appear that telecom equipment suppliers have significant bargaining power over Telecom Corporation Mansell, There are sufficient vendors, possibly, to reduce bargaining power.

Power of Buyers With incremented choice of telecom services and products, the bargaining power of customers is increasing Mansell, Thus, the Telecom Corporation faces high power of buyers since they can anytime switch to other company offering better and advanced services that to at a price lower than the former.

The satellite and Cable TV operators are now competing for buyers. There are a number of companies which offer similar products like Telecom Corporation.

Moreover, the increasing use of internet is turning out to be a viable means for cutting voice call rates.

The Cass Strategic Edge

Competitive Rivalry There exists high level of competition within the telecom segment since there are number of renowned companies offering similar products Armstrong, New technology is stimulating a range of substitute products and services.

Nearly everyone today pays for phone facilities, thus all the companies nowadays need to attract users with lower prices and exciting facilities Armstrong, However, this tends to bring down the overall profitability of the industry.

Telecom Corporation being a part of this highly competitive industry must make sure that it offers products that are innovation and better than the competitors so as ensure long tern existence and sustainability.

Conclusion To conclude, it can be clearly stated form the above discussion that Telecom Corporation New Zealand operates within a very competitive and rapidly altering environment.


There exists the need for the company to keep pace with the changing environment and facilitate its customers with exceptional and unparalleled products and services that to at a price lower than the competitors. Further, the organization must also make sure that all its products and services are offered keeping in mind the customers preferences, environment in which it operates and the society as a whole.The Home of the 4 Hour Investor Grade Business Plan.

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Pest analysis in telecom

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Find Government Market Research Reports and industry analysis for market segmentation data, market growth and new business opportunities. Pestle analysis – telecom sector 1.

Presented By –Aayush KumarNeena NautiyalShruti MukherjeeArpit RastogiSantosh KumarRuchi Jain 2. The Indian telecommunications has been zooming up the growth curve at a feverish pace, emerging as one of the key sectors responsible for Indias resurgent economic growth. It is the fastest growing.

PEST Analysis A PEST analysis for the telecommunication companies or industry is split into the four distinct groups namely; political, economic, social and technological (Barney, ). Further, the continuing sections provide PEST analysis of Telecom Corporation New Zealand. Forecasting the income statement is the first step to building.

Rebuild the historicals. To forecast the income statement, you have to understand the historicals.

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