Maxis learnt a painful lesson on how unpredictable consumers can be when they perceive better value elsewhere. As at March 2015, its mobile subscribers had dropped by over one million to 11.29 million which is the lowest in near five years. Maxis has lost 400,000 subscribes as it found itself on the receiving end of social media backlash for allegedly practising discriminatory pricing practices. Then the company’s blended average revenue per user (ARPU) to measure total revenue by the number of the subscribers and surprisingly margins rose in the first quarter to RM55 and 54% respectively. This is due to the fast- changing telco landscape, with new-fangled technology and industry deregulation forcing telcos to change the rules of the game. 2
ASSIGNMENT – BMST 5103 The top three telecommunication company need to face with intense pressure to keep up with the competitors by creating new level creativity of their marketing and product service in order to be relevant in telecommunication business. Hence Celcom, Maxis and DiGi has create their own business level strategies to compete with each other in order to satisfy the need from the subscribers. 1.1 Business Level Strategies of Celcom Axiata Berhad As one of the oldest mobile telecommunication provider in Malaysia, Celcom Axiata Berhad had gone through many challenges and competitors to ensure the continuity of its business. Celcom started its operation as STM Cellular Communication in 1988 with Fleet Group and Teleko Malaysia as shareholders. Unfortunately, Telekom Malaysia had sold its 51% shareholding to the TRI group which controlled by Tajudin Ramli. While Fleet Group’s share was transferred to the Time Engineering group which later also sold to TRI group. During their starting years, Celcom experienced a tremendous growth in subscriber base and network coverage under the supervision of its president, Rosli Man. During his service, Celcom turned into the leading telecommunication companies in Malaysia. Since its inception, Celcom has steadily made its presence felt in the Malaysia market. It has always continued to spread its wings and is undeterred by the dynamic nature of the mobile communication industry. As the Celcom vision is about pleasing their customers and exceeding their expectation, it is company goal to empower the customers with choices and innovative solutions that will give them greater control and freedom to live it to the fullest. Evaluation of the company’s internal strength and weakness and external threats and opportunities served as the foundation for this strategic marketing plan. They are applying many strategies to maintain their position as the market leader like business package development, intercontinental and international service expansion.
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- Winter '14
- Management, Wi-Fi, WiMAX, DiGi telecommunications