Mobilink

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ASSIGNMENT Subject: BUSIESS PLOICY AND STRATEGIC MANAGEMENT Submitted To: SIR KHURRAM Submitted By: Fatima Arshad

Transcript of Mobilink

ASSIGNMENTSubject:BUSIESS PLOICY AND STRATEGIC MANAGEMENT

Submitted To:SIR KHURRAM Submitted By:Fatima Arshad

Executive SummaryThe mobile industry of Pakistan has seen phenomenal growth in recent years. The total mobile subscribers in 2007 were more than 63 million, a growth of more than 80% from the previous year. The telecom sector of Pakistan was deregulated in 2003, and mobile industry being a part has seen phenomenal growth ever since. Many analysts believe that Pakistan is one of the fastest growing telecom markets in the world.There were six diverse companies making the mobile industry of Pakistan, Mobilink being one of them. Other companies include Ufone, Telenor, Warid, Zong and Instaphone. Mobilink enjoys being the market leader with a 36% market share as of July, 2008.Pakistan Mobile Communications Limited (PMCL) launched its operations in August 1994, under the brand name of Mobilink. Initially it was a joint venture between Motorola and the Saif Group.Later on in April 2000, Orascom Telecom bought 38.6% stake in PMCL, later increasing it to 68.69%. In April 2001, Orascom Telecom took over management control of the company and as of December 31st, 2007, Orascom Telecom owns 100% of the share capital of Mobilink. Mobilink was awarded a 15-year license in July 1992 to establish and operate a digital cellular telecommunication system using the GSM 900 standard. Mobilink has been growing its network ever since, providing 2G, 2.5G, GPRS and EDGE compatibility. Mobilink is committed in providing the best network to their customers, which in recent times has expanded to more than 9000 cities and reaches over 66% of the total population and 99% of the urban population as of December 31st, 2007.Pakistan Mobile Communications Limited (PMCL) or Mobilink is currently headed by President and CEO Zouhair A. Khaliq. Mobilinks headquarter is located in Islamabad and has eight different departments. All major decisions regarding Mobilink are taken centrally in Islamabad. Mobilinks finances are as strong as its operations and customer base. For the year ended December, 2007, the total profit after taxation was more than Rs 4bn. Furthermore Mobilinks fixed assets have shown a rise in 2007, so have the long term liabilities and shareholder equity.Mobilink being the market leader is also able to attract the most talented professionals. Its current employee force consists of more than 4500 unique individual. Attracting customers is a tough job and that is why the marketing department of Mobilink develops a number of marketing campaigns to attract customers. Furthermore it also takes the help of a leading advertising agency of Pakistan and uses brand ambassadors from various walks of life to promote its products and services.The mobile industry provides three major product lines, which include the consumer packages, value added services and corporate packages. The consumer packages include the postpaid and prepaid packages; the value added services provide entertainment, information and a lot more to their subscriber, while the corporate packages have been introduced to cater to the needs of large businesses and corporate clients.The mobile industry of Pakistan has witnessed phenomenal growth periods over the years. As of July 2008, the growth rate of the entire industry was more than 40%. There are four major competitors of Mobilink. Ufone is the closest with a market share of 21% in July 2008, followed by Telenor with 20%, Warid by 18% and Zong by 5%.Lastly I would say that Mobilink became the market leader by introducing new products and services that took full advantage of new technologies over the years and I hope that it will tend to do so in the coming future and provide stiff competition to any challenger that poses a threat to its leadership in the market.TELECOM INDUTRSY ANALYSISThe telecom sector of Pakistan has seen phenomenal growth over the past few years. According to the Pakistan Telecommunication Authority (PTA), the total mobile phone subscribers in 2007 were more than 63 million, a growth of more than 80% from the previous years. During 2006-07, the mobile sector generated Rs 133 billion in revenues, an increase of 48% from the previous years and contributed Rs 63 billion to the national exchequer in terms of taxes and regulatory fees. The telecom sector contributed 2% to the GDP in 2005-06 and received more than $1.8 billion in foreign direct investment (FDI) in 2006-07 , which is 35.6% of the total FDI in that period. Furthermore, the telecom sector has also created over one million in jobs, since its deregulation, making Pakistan one of the worlds fastest growing telecom markets.The Pakistan Telecommunication Ordinance 1994 established the primary regulatory framework for the telecommunication industry including the establishment of an authority. Thereafter, Telecommunication (Re-Organization) Act no XVII was promulgated in 1996 that aimed to reorganize the telecom sector of Pakistan. Under Telecom Reorganization Act 1996, Pakistan Telecommunication Authority (PTA) was established in January 1997 to regulate the establishment, operation and maintenance of telecommunication systems, and the provision of telecom services. The telecom sector was deregulated in 2003.Currently there are six mobile operators operating in Pakistan, which include Mobilink, Ufone, Telenor, Warid, and Zong . Mobilink started its operations in 1994 as the first GSM cellular mobile service in Pakistan, started by Motorola Inc. Later it was sold to Orascom, an Egypt-based multi-national company.Mobilink is the largest cellular service provider in Pakistan. Another company, Pakistan Telecommunication Mobile Limited (PTML) is a wholly owned subsidiary of PTCL, established to operate cellular telephony. The company commenced its operations, under the brand name of Ufone from Islamabad on January 29 2001. Later, as a consequence of PTCLs privatization, 26% of its shares were acquired by Emirates Telecommunication Corporation (Etisalat). Being part of PTCL, the management of Ufone had also been handed over to Etisalat.Telenor Pakistan is 100% owned by Telenor ASA and adds on to its operations in Asia. Telenor Pakistan launched its operations in March 2005 as the single largest direct European investment in Pakistan, setting precedence for further foreign investments in the telecom sector.In 2004, Warid Telecom International LLC, purchased a license for operating a nationwide mobile telephony network, (WLL) and long distance international (LDI) for $291 million US dollars and was the first venture of Warid Telecom International LLC. Warid Pakistan launched its services in May 2005. On June 30th, 2007, Singapore Telecommunications Limited (SingTel) and Warid Telecom announced that they had entered into a definitive agreement subsequent to which SingTel will acquire a 30% equity stake in Warid Telecom for an estimated $758 million.China Mobile Pakistan (CMPak) is a 100% subsidiary of China Mobile. The pioneering overseas set up of China Mobile came through acquisition of a license from Millicom to operate a GSM network in Pakistan. Millicom had initially bought Paktel in 2003 from Cable & Wireless. Paktel was the first ever company granted license to carry out cellular phone services in Pakistan. Currently CMPak is operating in Pakistan under the brand name of Zong. Instaphone is another telecommunication company in Pakistan. Instaphone was one of the pioneers of cellular industry in Pakistan. Initially the company was owned by Millicom International; later on Arfeen Group acquired it.Currently, the license of Instaphone has been terminated due to non payment of license fee to PTA.The company under a renewed license is planning to role out a countrywide CDMA mobile network and would be the only CDMA mobile operator in Pakistan to launch first 3G services in Pakistan.EXTERNAL ANALYSIS

Growth Rate of Entire IndustryThe mobile industry has seen phenomenal growth over the years. Today there are five major competitors competing for their subscriber base, increasing the services provided, reducing their call rate and having aggressive marketing campaigns. Simply put, competition is heating up in the mobile industry.In July 2008, according to Pakistan Telecommunication Authority (PTA), the total subscriber base in the mobile industry reached to more than 89 million to 89,325,296. This was an increase of 41.4% from December 2007. Although this is phenomenal growth, analysts believe that it mould be even higher, if taxes would have not increased, in the financial budget.The mobile industry saw phenomenal growth from 2005-2006. According to PTA,on average 2.3 million subscribers were added every month during 2006-07.Furthermore, in 2003-04 the sector was offering 466,068 direct and indirect employments, which in 2006-07 more than doubled to 1,366,698 employments. Also the cellular mobile density or mobile penetration in the total population has also increased over the years. In July 2008, the mobile density reached 55.62%. It was 54.7% in Dec 2007 and 39.94% in Dec 2006, according to official figures.Also during 2006-07 the revenue of mobile industry was Rs.133 billion, an increase of 48% from pervious yearHowever, none the less, the growth has subsided since 2006, from 170.2% in December 2006 to 80.7% in December 2007, the major reasons of which include the crackdowns on SIM registration, rising taxes and the general economic conditions of the country.

According to this figure Mobilink Is at near to its maturity stage to remain in market they continueously offer different packages according to the need of customers. Ufone, Telenor, Zong and Warid are at growth stages while instafone and world call are do not exist in the market.Recipie For SuccessMobilink Leads With Slogan Of Understand, Invest And InnovateUnderstanding of the market, continuous investment and innovation is what has helped Pakistan Mobile Company Limited known for its brand name Mobilink sustain the top position among the countrys cellular mobile operators (CMOs), according to Farid Ahmad, companys Vice President of Marketing.Other telecommunication companies are also follow different competitive and strategic policies to acquire market share and to achieve success.Competitor Analysis of Mobilink

Major Competitors Ufone

Pakistan Telecommunication Mobile Limited (PTML) is a wholly owned subsidiary of PTCL, established to operate cellular telephony. The company commenced its operations, under the brand name of Ufone, from Islamabad on January 29, 2001. Since its inception, Ufone changed the image of mobile phones from a luxury only affordable by the elite, to a necessity affordable by the common man. Ufones primary focus always remained on their valuable customers, introducing services over time to fulfill their need and demands. Ufones slogan has always remained Its all about U.As a consequence of PTCLs privatization in 2006,26%of its shares were acquired byEmirates Telecommunication Corporation (Etisalat). Being part of PTCL, the management of Ufone has also been handed over toEtisalat.Now, under the management of Etisalat, Ufone tends to concentrate on customer needs and benefits and its management is even more determined than ever to be the leading cellular player in the market, because Ufone has been known for providing superb propositions and quality service to its customers and tends to keep that reputation in the future.Ufone has maintained itself as the 2nd largest cellular operator in Pakistan with a subscriber base of over 18 million in July 2008, according to PTA and a market share of 21% during the time period. Currently, Ufone has network coverage in more than 750 cities, towns and across all major highways of the country. It also provides international roaming to more than 195 live operators across 119 countries..2.4.1.2TelenorTelenor Pakistan is 100% owned by Telenor ASA and adds on to its operations in Asia together with Thailand, Malaysia and Bangladesh. Telenor acquired the license for providing GSM services in Pakistan in April 2004, and had launched its services commercially in Islamabad, Rawalpindi and Karachi on March 15, 2005 and on March 23, 2005 Telenor started its services in Lahore, Faisalabad and Hyderabad. Telenors investment in Pakistan is the single largest direct European investment in Pakistan.By the end of July 2008, the total subscribers of Telenor exceeded 18 million, with a market share of 20%. Telenors network covers more than 3000 cities, towns and highways throughout Pakistan.Furthermore, Telenor Pakistan has more than 5,000 cell masts throughout Pakistan, making it the 2ndlargest network in Pakistan and 3rdin terms of customer base.Telenor has a strategic alliance with Nokia Siemens Networks for expansion in Pakistan. With USD 1 billion already invested, Telenor has extended agreements with its vendors, including Nokia Semens for network expansion and services until 2009. The agreements will result in USD750 million worth of orders from Telenor Pakistan.2.4.1.3WaridWarid Telecom is a joint venture between Abu Dhabi Group & SingTel Group.In 2004, Warid Telecom International LLC, purchased a license for operating a nationwide mobile telephony network, (WLL) and long distance international (LDI) for $291 million US dollars and was the first venture of Warid Telecom International LLC.Warid Pakistan launched its services in May 2005 and is based in Lahore.Abu Dhabi Group is one of the largest business groups in the Middle East and the single largest foreign investor in Pakistan. Abu Dhabi Group entered into a strategic alliance with Singapore Telecom. Subsequent to this transaction in July 2007, telecom giant SingTel acquired 30% percent equity stake in Warid Telecom, Pakistan, for US$758 million- valuing the company at an enterprise value of $2.9 billion. This partnership is part of a strategy to support Warid Telecoms continued growth and to enhance its market position.In July 2008, Warids total subscribers were more than 15 million subscribers and enjoyed 4thposition in the market with a market share of 18%. In June 2008, Warid Telecom announced it would invest $1.5 billion by end of this year and $2.5 billion by end of 2009 to expand and modernize its network in Pakistan.2.4.1.4ZongChina Mobile Pakistan (CMPak) is a 100% subsidiary of China Mobile. The pioneering overseas set up of China Mobile came through acquisition of a license from Millicom to operate a GSM network in Pakistan. With ambitious plans to cater to the fastest growing Pakistani market and to win over the ever demanding Pakistani customer, CMPak's edge comes from the experience and expertise of running the world's largest telecom service and the commitment they make to setting quality and customer relations standards. ZONG is the first International brand of China Mobile being launched in Pakistan.On 22ndJanuary 2007, Millicom International Cellular S.A. announced that it would sell its 88.86 percent stake in Paktel Ltd. to China Mobile for $284. On 4th May 2007, Paktel was renamed to CMPak and then, on 16th May 2007, China Mobile announced that it had upped its stake in CMPak to 100%. It later rebranded branded Paktel to Zong.In July 2008, the total subscribers of Zong were more than 4 million and enjoyed 5thposition in the market with 5% share in the market. So far CMPak has invested more than US$ 700 million in the telecom sector in Pakistan and an additional US$ 800 million will be invested till the end of year 2008.Their Market SharesAccording to official figures in July 2008, there were a total of 89m subscribers (89,325,296) in the mobile industry, Ufone had 18 million (18,368,074) subscribers and was second in market share to Mobilink, followed closely by Telenor with 18,329,428 subscribers, a difference of just 38,646 subscribers. This difference was 3,312,712 subscribers at the end of 2007. Warid was forth with 15 million (15,774,299) subscribers. Warid has also lost to Telenor in terms of market share since 2006, when it was third in the industry. In July 2008, Zong had 4 million (4,446,024) subscribers and was fifth overall. Instaphone had only 351,135 subscribers during this time.PORTERS FIVE FORCES MODEL

THREATS OF NEW ENTRANT:In todays increasingly competitive world, Mobilink has a great place in Telecom Industry. But they have a threat from Zong which established almost 5 years back and it launched one of the most successful and aggressive campaigns and achieved 6% market share. Competitors: UFONE : Inception 2001 Technology GSM-900/1800 Major Shareholder PTCL (100%)TELENOR : Inception 2005 Technology GSM-900/1800 Major Shareholder Telenor (100%)

WARID : Inception 2005 Technology GSM-900/1800 Major Shareholder Abu Dhabi Group (100%)ZONG: Inception 2007 Technology GSM-900/1800 Major Shareholder China Mobile (100%)

Bargaining Power of Supplier:It might look like telecom equipment suppliers have considerable bargaining power over Telecom Company. These are enough vendors, arguably to dilute bargaining power

Customer Bargaining Power:Mobilink has high fixed cost for high initial R & D and minimal incremental cost hence they would like to keep their sales volume high in order to recover as much fixed cost as possible. Due to all these resons bargaining power of customer is high in this industry.

Threats of Substitute Product The existence of close substitute product increase the propensity of customers to switch to alternatives in response to price. The substitute product of mobilink are given below : Bradband V wireless Mobilink PCO Mobi cash Blackberry

PESTANALYSIS

Political Factors:The political factors that are affecting the Mobilinks policies are as follows: Political environment of Pakistan is unstable in the current situation. Due to instability in Politics, Pakistan is in very critical position due to this foreign trader is not interested to invest in Pakistan in these circumstances. In this year budget, Government imposes heavy taxes on telecommunication sector and they increase the taxes more than double and now it is 21% on every call. Government strict the policies for the new connection and they give punishment to those retailers who have done the fake sales due to this sale of new connections are declining.

Economic Factors:Following are the economic factors which are affecting the whole industry: As there is instability in politics, economic conditions are also in a very bad condition. Inflation rate is going high and high and the value of Rupee is going down and it proves as very drastic for the economics of country. Unemployment rate is going up and up with the increase of level of poverty. Marketer should consider long term and short term state of a trading market.

Socio Cultural Factors:The Socio Cultural Factors which can affect Mobilinks policies are as follows: As Pakistan is an Islamic country and people are very strict in case of Islam anything against the philosophy of Islam on either print or electronic media are treated as against Pakistan. In metropolitan cities women are doing work along with their other responsibilities but other than metropolitan it is difficult for women to convince their parents and spouses for work. Mobilink should targeting upper-end of market mostly published and aired their advertisement in English language. Most of the people dislike anything extra-ordinary or something which sabotage their culture or sub culture. As there are different languages spoken in Pakistan so, Mobilink should give their customer assistance in all of these languages. Mobilink has introduced the Jazz Ladies First package which typically segments the females so; they should also segment the market on the basis of age. As most of the population of Pakistan lies in low income range therefore they should target those customers and give them cheapest possible package. As the lifestyle of people living in big cities are changing so they need more value added services in their connections. Technological Factors:Following are the technological factors which company should concern: Companies have technology with which they can compete in the Pakistan and now companies are investing in their infrastructure to not only expand but also to upgrade their existing structure. Mobilink is now moving towards WiMax technology through which there will be wireless telephone and broadband technology. Mobilink has shifted its whole network from 900MHz to 1800MHz. They are also doing research regarding 3G technology. Mobilink is providing largest variety of value added services (VAS) in Pakistan.

In 2007, Ufone still remained second (14,014,044) in terms of mobile subscribers and Telenor third (10,701,332), followed closely by Warid (10,620,386), which remained forth. Zong was fifth (1,024,563) and Instaphone sixth (333,081). The total subscribers in 2007 were 63 million (63,159,857).

INTRODUCTION AND HISTORY OF PARENT COMPANYOrascom TelecomHolding S.A.E.("Orascom Telecom") or ("OTH") was established in1998and has grown to become a major player in the telecommunication market.

OTH is considered among the largest and most diversified network operators in the Middle East, Africa, and South Asia, and has acquired in early 2008 a license to operate mobile services in North Korea. Orascom Telecom is a leading mobile telecommunications company operating in six emerging markets having a population under license of 430 million with an average penetration of mobile telephony across all markets of approximately 40%. OTH operates GSM networks in Algeria (Djezzy), Pakistan (Mobilink), Egypt (Mobinil), Tunisia (Tunisiana), Bangladesh (Banglalink) and Zimbabwe (Telecel Zimbabwe).In Pakistan, the Pakistan Mobile communications Ltd (Mobilink) started its operations in 1994 and, until early 2001, had a market share of 40%. In April 2001, OTH took over management control of the company. As the market leader, Mobilink today serves over 35 million subscribers, representing a market share of 38.5% (as of March 2008).OTH has positioned itself as a leader in the region for its diverse GSM operations with various GSM support and Internet operations. One of OTH's main strategies is to create its own non- GSM subsidiaries to act as a backbone of support for its regional GSM operations.

OTH established a strong presence in the GSM Association (the world's leading wireless industry representative body) only five years after its inception. OTH's Chairman and CEO, Mr. Naguib Sawiris, was selected to join the GSM Association's CEO Board in 2002. OTH's stocks are traded on the Cairo and Alexandria Stock Exchange (CASE), (under the symbol ORTE.CA, ORAT EY) and on the London Stock Exchange (where its GDR is traded under the symbol ORTEq.L, OTLD LI)Introduction Of Mobilink

Pakistan, the Pakistan Mobile communications Ltd (Mobilink) started its operations in 1994. Mobilink is the market leader and provides the most extensive network coverage across Pakistan through an integrated technology infrastructure in more than 10,000 cities, town and villages. The head office of Mobilink located at Blue area, Islamabad. Its branch offices are located in Lahore, Karachi, Faisalabad, Rahim Yar Khan, Sukkher, Peshawar, Quetta, Swat, Kohat, etcMobilink has three main contact centers in three region of Pakistan. As for the customers centers there are about 2000 to 25000 customer service centre all over the Pakistan. There are about 5000 employees working in Mobilink on permanent and temporary basis, In other words Mobilink can say.WE SPEAK YOUR LANGUAGE EVERYWHERE

Vision of Mobilink"To be the leading Telecommunication Services Provider in Pakistan by offering innovative Communication solutions for our Customers while exceeding Shareholder value & Employee Expectations".Mission of MobilinkTo be the unmatchable mobile system of communication in Pakistan, providing the best value to its customer, employees and business partner and shareholder. Goals and ObjectivesTo expand the business.To Provide better service to people in the field of telecommunication.Retaining as the role of a leading telecommunication company.Attract maximum customers and satisfy them.Excel in meeting customer needs.Seek employee involvement, continuous improvement and enhanced performance goals.

Values of Mobilink Total Customer SatisfactionCustomers are at the heart of our success. They have placed their trust and confidence in us. In return, we strive to anticipate their needs and deliver service, quality and value beyond their expectations. Business ExcellenceWe strive for excellence in all that we do. We aspire to the highest standards and raise the bar for ourselves every day. This commitment to delivering world-class quality translates into unmatched service and value for our customers and all stakeholders. Trust & IntegrityAt Mobilink, we take pride in practicing the highest ethical standards in an open and honest environment, and by honoring our commitments. We take personal responsibility for our actions, and treat everyone fairly, and with trust and respect. Respect for PeopleOur relationships drive our business. We respect and esteem our employees and all stakeholders. We believe in teamwork, empowerment and honor. Corporate Social ResponsibilityAs the market leader, we recognize and fulfill our responsibility towards our country and the environment we operate in.We contribute to worthy causes and are dedicated to the development and progress of the society

Organizational Structure Of Mobilink

Management Profile

President and CEO Rashid Khan

Chief Strategy OfficerTariq Rashid

Chief Commercial OfficerBilal Munir Sheikh

Vice President Customer CareIrfan Akram

Vice President Corporate AffairsAgha Qasim

Chief Technical OfficerRamy Reyad Kamel

Vice President Mobile Financial ServicesJahanzeb Taj

Chief Information OfficerIrfan Farooq

Vice President Human Resources & AdministrationSadia Ahmad

Chief Financial OfficerAndis Locmelis

Vice President MarketingFarid Ahmed

Company AnalysisOperation Analysis NetworkMobilink was awarded a 15-year license in July 1992 to establish and operate a digital cellular telecommunication system using the GSM 900 standard and to offer telecommunication services in Pakistan. Before that, all previous operations were using the AMPS technology. Since then Mobilink has been growing its network, providing 2G, 2.5G, GPRS and EDGE compatibility. Mobilink was the first operator to start rolling out the Enhanced Data Rates for Global Evolution (EDGE) in Pakistan. In addition, Mobilink also launched its BlackBerry service in December 2005 through its GPRS platform. Furthermore, Mobilinks license was renewed on July 6th, 2007 for a further period of 15 years.Mobilink is committed in providing the best network to their customers, which in recent times has expanded to more than 9000 cities and reaches over 66% of the total population and 99% of the urban population as of December 31st, 2007.Not only is Mobilinks network very modern and technologically advance, but it is also very competitive, when compared to other mobile networks.DIVISIONS OF MOBILINKOrganizational structure of Mobilink is geographically divided into three Divisions North, South, and Central. Each division is further divided into Business Units that are as follows Northis divided into North I (Islamabad and Surroundings) & North II (Peshawar, FATA) Centralinto Central I, II, III & IV (Consist of Lahore, Faisalabad, Multan & Gujranwala Regions) Southinto South I & II (Karachi, Hyderabad and Queta Operational DepartmentsMobilink is headed by President and CEO Zouhair A. Khaliq, who reports directly to the Chairman and CEO of Orascom Telecom Naguib Sawiris. Furthermore the operations of Mobilink are divided into eight different departments, which are as follows:1.Human Resource2.Administration and Security3.Sales4.Marketing5.Customer Services6.Corporate Affairs7.Technical8.FinanceFurthermore, these departments are further divided into sub departments to ease operations within Mobilink. Also all major decisions are taken centrally, in Islamabad. These decisions for example include, the financing required by Mobilink (local and foreign), decisions regarding import of goods etc.Subscribers and Market ShareMobilink had a great advantage for years as being the only GSM mobile operator in Pakistan, however with the entrance of Ufone in 2001 and later on by Telenor, Warid and Zong, the competition in the mobile sector is heating up. However the subscriber base Mobilink has remained steady and growing as seen in the table below:Table2: Number of Mobilink Subscribers from 2005-July 2008Year200520062007July-2008

Subscribers7,469,08517,205,55526,466,45132,056,336

% Change-130.353.821.1

Although the number of subscribers has increased over the years, the same cannot be said about the market share of Mobilink, which has gradually decreased over the year. However, although the market shares of Mobilink might have decreased over the years, but it still remains the market leader in the mobile sector. The market shares of Mobilink are as follows:Table3: Market Shares of Mobilink from 2005-2007Years200520062007

MarketShare51.4%46.3%39.8%

Change-(5.1%)(6.5%)

Marketing AnalysisIn todays contemporary business world, marketing plays an important role. Mobilink that has a number of competitors in the mobile industry, need to use their marketing plan and strategies effectively to attract customer loyalty.The marketing department at Mobilink anticipates, and satisfies the customers communication needs. This includes consumer behavior research and translating this research into services and pricing plans. The Marketing team also helps in identifying new business opportunities and develops plans to exploit those profitably. It also designs and implements brand strategies and communication plans.The major ways in which Mobilink markets itself and its products are through the following ways: Electronic PrintPRODUCTS Of MOBILINKMobilink Product LinesMainly there are four product lines of Mobilink with each having separate target markets and positioning.Mobilink IndigoMobilink JazzMobilink WorldMobilink PCO MOBILINK INDIGO Mobilink re-launched its postpaid services on the 11th of May, 2004 under the brand name, Indigo. Indigo ignited an evolution in the communication industry redefining the essence of the post-paid services in Pakistan. The brand delicately caters to the need of its customers, symbolizing the vision of connecting the subscribers in every aspect of life. Indigo says:In life you come across some exceptional people, who, like you, appreciate only the finer things in life. When it comes to creating a bond and staying connected to them count on Indigo for its unrivalled premium post paid connectivity to get you through.Indigo Offerings Indigo BlackBerry Citi Mobilink Credit Card Call& Control Indigo Reward Indigo GenieTarget MarketIndigo targets the upper business class that is not concerned with the cost but want convenience, quality and a brand image that suits their personality. Who doesnt want fun or music but want a brand that is Competent and Indigo is well satisfying the desires of its corporate customers. Introducing Blackberry connect through which businessmen can taketheir office anywhere, share attachments etc. That is why Indigo customers are loyal to the brand and hesitate to switch to other connections. It can be said that Indigo enjoys the benefits of a monopoly in the corporate sector. Mobilink Jazz Jazz is an exciting and energetic offering of Mobilink, targeting specifically those enthusiastic teenagers, middle class and the youth market of the country, wishing to enjoy freedom, fun, lower rates and a package that matches their personality.Jazz Offerings Jazz Budget Jazz Octane Jazz Ladies first Jazz Easy Jazz Share Jazz Load Jazz Advance

Mobilink World

Mobilink World is the Value Added Services Brand for Mobilink. These services are not just fun, but also help its customers with their business needs. Whether it's a Bolo SMS they want to send to a friend or a ring tone they want to download to customize their phone with, Mobilink World has something special for them.Mobilink World Offerings Mobi Safe Holy Sayings Corporate SMS Mobi Greetings SMS Scheduler SMS Game Time Bolo SMS Mobitunes G:i:30 WAP Portal Mobilink Edge Mind Reader CricVideo International SMS Chat Ring Tone Club

Target MarketMobilink World is the Value Added Services Brand for Mobilink and its target market is its whole customer base:Mobilink World services are not just fun, but also help you with your business needs. Whether it's a Bolo SMS you want to send to a friend or ring tone you want to download to customize your phone with, Mobilink World has something special just for you. Mobilink PCOFor the first time ever Mobilink has brought Mobilink PCO, a revolution in its own right that shall surely set apace the way its consumers communicate at the grass root level. Mobilink PCO is a fixed wireless phone that has special PCO functions capability. It consists of two LCD's that helps customers to keep a tap on the duration and the costing of the calls they make.

This latest venture from Mobilink is aimed at bringing prosperity and happiness for all the people throughout Pakistan. It's a complete self-employment solution for the people of Pakistan, fulfilling their dreams and aspirations.Mobilink PCO does not only give its consumers higher returns on a very low investment but it also creates a world of better prospects in terms of a consistent source of income for them.Mobilink PCO claimsWherever you are, throughout Pakistan whether the remotest deserts of Sindh or the spectacular peaks up north expect unparallel coverage from your Mobilink PCOWith this unit customers experience even higher returns even though the investment in terms of capital is very minimal. Mobilink PCO no doubt is a world of opportunities within itself.Exceptional coverage and the ease of its wireless technology-carry it wherever you wishLoad the free jazz card provided and embark on a successful business venture right awayBenefits from after sales servicesBCG Growth Rate MatrixSTAR. ?

CASH COW. DOG

High LowHigh Mobilink Market Growth Rate Low Mobilink Market ShareMobilink claims all its products as Star with the highest Market Growth Rate and highest Market Share,

SWOT ANALYSIS Strengths:Following are the vital strengths of Mobilink: Market Leader in the Telecommunication industry with 41% market share. Mobilink is pioneer of GSM technology in Pakistan. Mobilink has largest network coverage in Pakistan and covering 9000+ cities, villages and towns. International roaming in over 120 countries with more than 300 partners operator worldwide. Mobilink is at more competitive on experience curve. Having strong brand equity across the country. Premium brand image and Exclusive Black Berry Services. Highly skilled, energetic and motivated professionals. The working environment is very good. The environment is vey conducive. Only Mobilink has JSA technology through this retailers can verify the customers NIC from NADRA. Mobilink has good competitive processes and procedure of operations. Helpline in different languages. Mobilink PCO. Unmatched Value Added Services. 57 Million Minutes per day. 91% of the companies in KSE 100 Index are powered by Mobilink Indigo. City Mobilink Credit Card. Security system is very good there are separate security department for this purpose. Mobilink fulfill the Corporate Social responsibilities

Weaknesses:Following are the weaknesses of Mobilink: Mobilink is expensive in comparison to other networks. Network problem and voice quality is still a big issue. There is lack of interdepartmental communication. Billing mistakes in indigo bills is common. Mostly process are not efficient in the routine jobs. There is no proper software available for Inventory system. Instead of using powerful tools of database they are still using flat file system and MS-Access with some extent. Although there is conducive environment but there is still a yes boss culture up to some extent. Here TC matters a lot. Fewer Advertisements now a day.

Opportunities:Mobilink has the following opportunities: They have an opportunity to provide different value added services like e-banking, online transactions, money transfer and stock exchange. By focusing on quality they can position their product on the basis of high quality product. Mobilink is offering new services such as WiMax. By revising their pre paid packages by lowering the prices of SMS and other networks they can increase the retention of customers. They are opportunity to provide the facility of internet connectivity to your laptop or pc through Sim. Being a market leader they can make head to head competition to their competitors and to make them out of market. By organizing events for some social causes they can improve the image of company. Mobilink can increase its market share by entering new market segments. Mobilink has an opportunity to add further products to its existing product line.

Threats:The factors which can be threatened to Mobilink are as follows: Due to increasing demand of HR in telecommunication sector Mobilinks employees are switching towards their competitors. By the expansion of network in that place where there is no network coverage of Mobilink, Telenor is getting the advantage of increasing subscribers in that market. Telenor have packages like djuice and talk shawk in prepaid connection have threatened the Jazz Octane and Jazz prepaid by their exciting offers. Due to the arrival of Zong most of the Mobilinks customers are switching toward it due to their exiting packages. Wateen has installed brand new technology WiMax and though this they get USP while Mobilink is now thinking about that technology. Due to intense competition Mobilink is losing its market share. Telenor has introduced H-Stick through which by inserting the Sim in that device you can connect through internet at your laptop or PC. Political and economical instability and terrorism in the country.

Suggestions and RecommendationsFollowing are some suggestion for the organization that should be adapt by the organization. Establish Research and Development Department. Ensure Network quality. Focus on subscriber retention. Better customer incentive plan. Training on regular basis in order to keep employees up to date and motivated. Innovation in technology. Lower SMS rates to other networks. Drastic revision in indigo tariff specifically in terms of prices. To cover all of those sites where other operators have coverage while Mobilink doesnt. To provide more training programs for technical employees. Improvement in Customer Services. Employee retention plans needs to be more efficient. Should introduce new brands.AppendixWeb ResourcesWikipedia (wikipedia.com)Articles used: Mobilink Ufone Telenor Pakistan Warid Telecom (Pakistan) Paktel China Mobile (Pakistan) Mobilink (mobilinkgsm.com) Pakistan Telecommunication Authority (pta.gov.pk) Ufone (ufone.com) Telenor (telenor.com.pk) Warid (waridtel.com) Zong (zong.com.pk) Orascom Telecom (otelecom.com) The News (thenews.com.pk)Reports Orascom Telecom Annual Report2007 Orascom Telecom Annual Report 2006 Mobilinks Balance Sheet and Income Statements