Strategic Analysis of the Current Status of Aktel Mobile

strategical outline of the Current Status of Aktel fluentStrategic Analysis of The Current Status of AKTEL fluent Regarding Marketing HR segmentationExecutive SummaryAccording to the Industry Life Cycle, the exercise of TMIB in Bangladesh, as it come everyplacems, is still in the growth st get along with. So the investment of TMIB in the prepaid section has been speculative since the last couple of years. This survey was conducted among the accredited clients of AKTEL, both pre-paid and post paid. Ab start 10 years mainstay in that location was only BTTB to offer telecommunication function to the securities manufacturing in Bangladesh. Although in that respect was tremendous securities industryplace demand, due to the government lack of initiative in this promising bea was not invested enough and the government deprived itself of pr moic eithery of r as yetue, which it could eat up earned slowly. In 1990 for the first epoch the government each(prenominal)owed the hugger-mugger sector to invest in the telecommunication sector especi every last(predicate)y in cellular phoneular, paging, soundbox radio and inelegant telecom function. The early operators skimmed the cream, miscellanyred City Cell in cellular function, Sheba telecommunication in rural telecom and Bangladesh Telecom Ltd. in Pager serve for a pine time. In 1996 the govt. appropriated licenses to 3 companies to live on GSM service in Bangladesh. These companies TM supranational (BD) Ltd. (TMIB), Grameen Phone (GP) Sheba Telecom came in the food market with a rattling free-enterprise(a) tariff structure and the market authoritative them very eagerly.Since then TM planetary (BD) Ltd. TMIB), a joint-venture familiarity formed between Telecom Malaysia Berhad, retentivity 70% of the equity capital and 30% local sh arholding by A. K. caravansary Co. ex cut mail, branding its services on the name of AKTEL in Bangladesh. It is a companion incorporated in Bangla desh with the objective of go the realm of the art and forward-looking telecommunications services to the People of Bangladesh at agonistical price. Keeping this objective in mind, the management of TMIB has been seek to achieve continuous improvement in its re hand offerings and services. To accelerate this process of continuous improvement and toK at present more around the expectations of the market, the subscribe for a interrogation on nodes perception towards its present crossings and services is obvious.By analyzing the consumer perception towards the crossings and services of AKTELs variant Packages of TM International Bangladesh Limited is full of complexity. In the context of a parting country alike Bangladesh, the need for selling of products by consumer perception analysis provides a very moant dimension for an establishment to improve their services. The policies and practices in the government issue of analyzing the demeanor of nodes, becomes an important promoter in this look. And how the employees jump aw be to achieve the tooshie of AKTEL is the chief(prenominal) objective of this tale.Thus, the customer perception towards the assorted packages of AKTEL is very of import beca intake its a must for the authority of TMIB to greet well-nigh the customers feedback of their current market activities and its effectiveness. By carrying egress this survey the physical composition impart get the probability to know the customer feedback as puff up as how they can modify their present merchandising activities. In turn they get outing be fitted to formulate some guidelines for modifying the current market mixed bag, and if necessary to addle it to a greater extent effective so that they can attract more customers.1. AKTEL An Organizational inditeOverview of the allianceAKTEL is a supple operator, which concentrates on offering GSM communication services for private and corporate customers. Their intention is to promote the wireless(prenominal) lifestyle-the complete winding society. TMIB is in the GSM Telephony business. With the technological growing in future, TMIB will postdate apostrophize-effective and more effective applied science to provide a state of the art and comprehensive service to its customers. TMIBs muckle is to always monitor its customers needs, wants and to cast accordingly. It will monitor the development of the engine room and update itself to meet customer needs.Background/Historical SummaryTM International (Bangladesh) Limited (TMIB), a joint venture comp each of Telekom Malaysia Sdn. Bhd., of Malaysia and A. K. khan Company Ltd. of Bangladesh has started its commercial operation in Dhaka, the capital urban center of Bangladesh as a GSM 900 cellular mobilize operator on 15th November, 1997. A tremendous success in Dhaka, TMIB has started its operations in Chittagong on March 26, 1998. TMIB uses the orbiculate System for Mobile (GSM) communicat ions as the digital cellular system, which is fully featured with services like Basic Telephony, Data and range Added Services, (VAS). TMIB has an integrated and fully computerized guest Cargon bill System (CCBS) which supports virtually all subscriber-related functions. The Company AKTEL of the Telekom Malaysia Bangladesh, with a full title being Mobil Telecommunications was founded as a joint company of the Telekom Malaysia Sdn. Berhad from Malaysia and the A. K. Khan Co. of Dhaka, Bangladesh. It operates as a Limited Liability Company, where a apply and a major(ip)ity shargonholder, the TMIB- member of the Telecom Malaysia, owns 70% shares, while the nonage shares of 30 % are being controlled by the A. K. Khan Co. Bangladesh. The organization is headed by its of import Executive designated as the Managing Director entrusted with overall responsibilities of business commission of the organization and leading dynamically towards the attainment of its Vision, Mission and Goa l. In attaining the in a higher place mission, the MD is assisted by 4 general managers TMIB has established a quick and formidable sales channel, which consists of direct dealers and its own sales force. TMIB is the digital Cellular Telephony air. With a technological development in future, TMIB will adopt any cost effective and more efficient applied science to provide state of the art and comprehensive service to its customers. TMIBs vision is to continuously monitor its customers needs and to see accordingly. It will monitor the development of technology and updated self to meet customer demand.2. Mission Statement Of AKTELAKTELs VisionTo be the most preferred GSM cellular provider in BangladeshAKTELs MissionTo provide amount customer satisfaction the company strives to become the most preferred GSM cellular service provider in Bangladesh. TMIB will achieve this with with(predicate) developing people, products, and services of the highest tint and meeting the needs of its customers, employees, shareholders, and the nation.AKTELs Theme node First3. The Marketing Strategies of TMIBMarketing StrategiesTM always wants to achieve the desired sales growth and customer base. TM wants to encourage the existing customers to use more of their services. They launched a package called AKTEL EID DOUBLE BONUS which was one of their undefeated initiatives for obtaining potential customers.Product PositioningInitially TMs target was to reach the top, and an another(prenominal)(prenominal) meandering(a) operators are to a fault targeting to the grass roots take aim and thus increasing their customer base. TM wants to be the leader with superb quality and designing products for the middle and lower middle class shed too.Marketing MixProduct Continuous improvement of quality dislodge of slow moving products to different target markets Always branding AKTEL with all packages with a GSM servicePrice Necessary changes in tariff structure, and changes and ha rm and conditions. Penetration pricing in the face of competition Skimming policy possible progression Brochures with all necessary info Press ads TV commercials (in future) Billboards Place/Distri notwithstandingion understand effective use of distri stillion Make product service delivery system more effective and less time consuming Wider dispersion profit to make service more accessible.4. The Company in BangladeshChain of CommandThe organization is headed by its Chief Executive designated as the Managing Director entrusted with overall responsibilities of business direction of the organization and leading dynamically towards the attainment of its Vision, Mission and Goal. In attaining the above mission, the MD is assisted by 4 general managers TMIB has established a hearty and formidable sales channel, which consists of direct dealers and its own sales force.The way TMIB Defines BusinessTMIB is the Digital Cellular Telephony Business. With a technological development in fu ture, TMIB will adopt any cost effective and more efficient technology to provide state of the art and comprehensive service to its customers. TMIBs vision is to continuously monitor its customers needs and to plan accordingly. It will monitor the development of technology and updated self to meet customer demand.Long-Term Vision of the CompanyAKTEL strongly believes that subscribers are their most valuable assets. They have a strong Customer Service Center. To always be with their customers the AKTEL Help Line is there. AKTEL has roaringly migrated to a new switch with higher capacities in terms of fit higher customer base and as well as to let them use all the basic supplementary services under GSM technology. TMIB expertise and experience are acknowledged throughout the industry. Demand is growing all the time, not simply for the services it already provides, but for greater and more diversified services and veritable(a) higher quality performance. Its pace is fast, rewards are high and work is of constant challenge. They introduced the both-way national roaming all through their network reportage. The Prepaid services with enhanced features have been commercially commenced successfully and now they are taking some projects to accumulate more advanced technological features in their network. In terms of Network Quality, the company will checker not only the equipment are of world class standard but more importantly its size or capacity is catered to the overcompensate dimension of customer base, in night club not to face the problems of drop calls or congestion. All these are done through proper planning, control and memorial maintenance program. They maintain the benchmark for providing the quality services. They monitor these through generating mend reports and on site survey. If there are any weak signals or a call drops, the skilled engineers are providing services round the measure to resolve the problem instantly. The most important primev al resource factor in TMIB is its efficient human resource. Moreover, its decisions are based on facts from market research and reportage survey. Moreover, the above objectives can only be achieved through the right people. AKTEL has put its keen eyes in developing its employees through proper training, as they believe that the most important asset for TMIB is its ply members. So they are ensuring quality services by quality people. TMIB has the plan to give opportunity to every household in using cellular service in the country at the competitive price providing odd quality service and customer care. In achieving this goal, they cant wait for more interconnection facilities with the fixed network. TMIB is planing to enforce their strong efforts to create their own self-governing network. They have already started the Dhaka-Chittagong AKTEL backbone. The future plan is to vigorously expand the network, which was called cell to cell expansion, covering to the highest degree all t he regions of Bangladesh within the year 2005.Global Mission of the CompanyAKTEL wants to provide its customers the best quality service in terms ofTrusted technology around the worldWide coverage with digital clarityDigital security with peace of mind divers(a) choices of appreciate-added featuresBetter customer service-not just promised, but deliveredCompetitive rate and expose billingObjectives of the CompanyTotal commitment to the needs of customersTo follow the highest honourable standardsContinuous improvement of all work processesPermanent improvement of all the employees knowledge and skillsSecuring the quality of the service to match the quality of service offered by the worlds most successful companies in the fieldPreserving the companys leading position in the national market of mobile Telecommunications.5. Mission In BangladeshTMIB as a VentureTMIB is a company incorporated in Bangladesh with the objective of offering the state-of-the art and sophisticated telecommun ications services to the people of Bangladesh at competitive prices. TMIB is a joint venture company formed between Telecom Malaysia Berhad and A.K Khan Company Ltd.The Business Slogan -Clearly AheadThe whole is the sum of split and when the best come together the results can be truly spectacular. TMIB brings AKTEL Mobile phone service, a digital cellular phone service, which will jell go against for life in the fast lane. AKTEL GSM always keeps so in force(p) even when so far. AKTEL GSM wants to provide the following in rate to see that they can gain potential customers as well as market shareThe technology trusted around the worldWide coverage with digital clarityDigital security with peace of mind various choices of value added featuresBetter customer care not just promised, but deliveredCompetitive rate and better billing.6. The Marketing Area of TMIBAdvertisement and PromotionAKTEL GSM are trying to convert non users to mobile phone users stressing the benefit of GSM ser vices, and with the service benefit of AKTEL that will make their life easier. To serve the market more unblemishedly their target market will be further segmental based on psychographics and business sites. The strive to develop a better product will be a continuous process. Conducting of market research will be held every 3 months. They will use their import to develop new products based on the info they will get from survey. Thus the product will be designed to meet the customers need. AKTEL has a wide variety of promotional activities. The promotional mix includes T.V., radio, newspapers, magazines, flyers, brochures, etc. AKTEL has withal put up billboards at reliable strategic locations in order to attract customers as well as give their products and services a boost so that they can increase their customer base. AKTEL branding has been carried in order to bring about its brand awareness. They are trying to secern AKTEL as a unique product so that it can be differentiate d from its competitors. Billboards are there to attract attention and appeal to customers so that they are aware of AKTELs products and services. Mostly billboards have been put on main roads and some major shopping centers around Dhaka city like Eastern Plaza, where mostly the younger generation hang out. This in turn would attract that segment of customers within a specific age group, i.e. teenagers and people in their early twenties, as this generation has the urge to guide frequently and be up-to-date on recent events. Thus, by promoting their products and services through these various media, electronic as well as press advertisements, AKTEL can well be in the way of obtaining its vision and so resulting in a higher subscriber base and in turn a higher potential market share. The merchandising role distributes leaflets or brochures so those new customers can drive out entropy about AKTELs various packages and choose from among them.The Promotional Activities of AKTELCellula r phone serviceTMIB brings customers the AKTEL mobile phone service. Fully digital cellular phone services that will prepare customers better in their day-to day activities, thus making their lives easier. AKTEL has been successful in bringing together the world leaders in various technologies, giving Bangladesh world class cellular phone service.Better BillingAlways keeping customers so near even when they are so far. AKTEL has been successful in bringing together the world leaders in various technologies.Better SwitchingAKTEL cellular switching system provides the customers the progressive GSM technology, which will give customers the winning edge all the way.SIM-Card Identity effectWith the AKTEL Cellular Phone service, customers will have more than just a number. Simply because the GSM lays emphasis on the subscriber identification module (SIM) eyeshade, a key component of the whole process. It is computer chip card, which is highly secured against fraud. A microchip embedded in the plastic card stores PIN (Personal realisation Number), code personal phone directory, and details of call made. As a result, the customers can use a SIM card on any GSM 900 phone. So, even if the customers cellular phone is not handy, the customer borrows another one, insert their SIM card and its business as usual. This electronic smart card in addition contains a unique PIN just as an ATM card does in order to prevent misuse as it can fall into unlawful hands.Consistent and High VoicePeople who listen to music on CD are aware that digitized music may result in sharper and clearer audio quality. With GSM too, digitization of voices is done, therefore maintaining high quality.SecurityIt is almost impossible for anyone to tap or listen in on a conversation in the AKTEL cellular network. Digitization encodes speech and dynamic assignation of frequency makes it impossible for outsiders to enter a call. Incidentally, the technology that makes it possible for item-by-item to talk better also makes it for anyone to intrude on their privacy audio quality. With GSM it is also possible for digitization of voice so that high quality is maintained.Exciting AKTEL ServiceAKTEL offers a very comprehensive range of value added services for those on the move. Each service is designed to help the customers in specific frequently encountered solutions. Services like these will surely breathe in the way customers communicate.AKTEL Itemized BillingThis service entitles the customers to a detailed bill with an accurate breakup of the call charges, including the date, duration and numbers of incoming and outgoing calls. This is highly handyin cases where the customers wish to keep track of expenses, or even to find out whether their card is being misused or not.International RoamingThe AKTEL mobile service will provide the customer with contractibility and the freedom to make and receive telephone calls to those GSM networks all over the world that have roaming agre ements with AKTEL. So whenever a customer is within the service areas of these GSM networks, they will still be able to keep in touch with friend and family around the world. option of HandsetThe AKTEL network has a chain of outlets where all the leading toughies makes accessories of GSM harmonious mobile phones available. However, subscribers are free to procure their GSM cellular phones from any other source within the company or abroad provided these are punctually paid and would connect to the AKTEL network.Distinctive CompetenceThe most important key source factor of TMIB is its efficient human resource. It is using the state-of-the-art GSM technology and continuously monitoring its network traffic to ensure network quality. Moreover, its decisions are based on facts from market research and coverage survey. The company also monitors its competitors activities and is proactive in marketing decisions.7. Summary of the CaseThe author had a chance to work at the Human Resources Division of TMIB. As the division has played a vital role to achieve the companys goal, it is yet to develop its role. It has many projects on hand and yet it also has been monitoring various projects that have been implemented in the past. So the task was to delve mystical into the present marketing scenario and conduct an in-depth analysis of the HR activities, i.e., their recruiting process, candidate extract, prepare the interviews by preparing the evaluation sheet, compile each individuals file after join the employees, updating the database after every recruitment. About 10 years back there was only BTTB to offer telecommunication services to the market in Bangladesh. Although there was tremendous market demand, due to lack of initiative on part of the government, this promising sector was not invested enough and deprived itself of haemorrhoid of revenue, which it couldve earned easily. In 1990, for the first time the government allowed the private sector to invest in th e telecommunication sector especially in cellular, paging, trunk radio and rural telecom services. The early operators skimmed the cream, like Citycell in cellular services, Sheba Telecom in rural telecom and Bangladesh Telecom Ltd. in Pager services for a long time. In 1996 the government. provided licenses to 3 companies to operate GSM service in Bangladesh. These companies which are Telekom Malaysia International (BD) Ltd. (TMIB), Grameen Phone (GP) Sheba Telecom came into the market with a very competitive tariff structure and the market accepted them very eagerly. Since then TMIB, a joint-venture company formed between Telecom Malaysia Berhad, holding 70% of the equity capital and 30% local shareholding by A. K. Khan Co. Limited, began branding its services in the name of AKTEL in Bangladesh. It is a company incorporated in Bangladesh with the object of offering the state-of-the-art and modern telecommunications services to the people of Bangladesh at competitive prices. Keep ing this objective in mind, the management of TMIB has been trying to achieve continuous improvement in its employee selection process and providing the best services. To accelerate this process of continuous improvement and to know more about the expectations of the market, the company needs to focus its internal resources along with the external. For a research on customers perception towards its present marketing mix it is obvious to take the best product (employees) for providing the best services towards the customers. victorious into account the customer perception of AKTELs various package offers as well as the existing market scenario is full of complexity. In the context of a developing country like Bangladesh, where the need for marketing of products through customer perception provides a very important dimension, the policies and practices in the matter of analyzing the sort of customers, is a relevant part of this research. Thus, the study on the present marketing acti vities of AKTEL products and services is very crucial because the company should be aware about the customers feedback of their current market mix in terms of its effectiveness by which, they will get the opportunity to know how the customers feel about their product and service offerings and the effectiveness of the present marketing mix. In turn TMIB will be able to formulate some guidelines for modifying the existing market mix, and if the need arises if try to make it more effective. It has already been mentioned that from the very beginning TMIB has been trying continuously to ensure the effectiveness of their marketing strategies and designing a much precise and concrete marketing mix. And for all these tasks the internal activities in HR division helps a lot to meet the external demand of the customers.Objectives of the field of operationsThe broad objective of this study is to find out the employee perception about the effectiveness of AKTELs various policies and strategies as well as their present marketing activities and promotional tools. In essence the objective of this report would be toTo find out the Employees perceptions and preferences of the various AKTEL packages in terms of their respective features and benefits to achieve the customers goal..To see whether AKTELs Prepaid and postpaid packages offer the benefits or feature that customers want.To find out if the customer care center offer efficientTo see if the promotional activities of AKTEL are gaining customer awarenessTo see whether AKTELs Prepaid packages are easily available and affordableMethodology of the StudyThe methodology of the study was carried out using both primary as well as auxiliary information. There were some interviews taken from certain personnel in the marketing division as well as the customer acre center, which provided helpful information in regard to the report. There were some telephonic interviews conducted which was very time consuming. Apart from the intervi ews, various books, journal, brochures, newspaper and previous marketing reports also provided valuable informationLimitation of the studyThere was certain limitation for which this report had some obstacles. The data collected was based on the HR employees interviews, which was subaltern more time consuming. The report had to be prepared within the effortless routine of office work, which resulted in the prolonging or the data collection. Sometimes the data was really confidential for the AKTEL employees to share with the Intern. Thus, the report had to be done in accordance with the daily work activities and of course was constraint.Importance of the subject matterThe importance of the report is reflected in the analysis and findings part. It is very crucial for the organization to know how effective theyve been and what they should launch in the future in order to gain potential customer as well as market share. By conducting this report, it should be clear to the organization whether they are heading the right way and what tactics and strategies they should implement to ensure that their promotional tools are working(a) properly and raising customers awareness. By putting more emphasis on their marketing activities they should be able to come up with and implement strategies that are in alignment with their vision i.e. To be the most preferred GSM cellular provider in BangladeshLegal Issues Laws and Policies in BangladeshThere are certain laws and policies that mobile operators have to follow. The government only granted permission to mobile companies to operate in the country. At present they are not allowing any more mobile operators. So the existing mobile companies have to act in accordance with governments rule and regulations.Scope of the ResearchThe scope of the research was limited to providing a general overview of the marketing division and their present activities, i.e. what kind of promotional tools they are using and what impact id had on t he media and the customers. During this -month internship program the major task was to provide an insight into the present market mix and customer perception of AKTELs products. Thus, the scope was limited to analyzing the present market strategies.8. Situational/Problem AnalysisMacro-environmental factorsMichael porters beer has provided conceptual framework for industry analysis. He developed a five dollar bill-spot-factor shape for industry analysis. The model identifies five key structural features that instruct the strength of the competitive forces within an industry and hence industry profitability. though it is often used by organizations for entering new markets, it can also be used to see the competitiveness in the current market. The five-factor model includes the followinga) Bargaining Power of Buyerb) Bargaining Power of sellerc) Competitord) Barriers to entrye) Substitution effectThe following diagram illustrates how Porters five forces affect the industryPorters Five Forces A Model for Industry Analysis.The model of pure competition implies that risk-adjusted rates of return should be constant crossways firms and industries. However, numerous sparing studies have affirmed that different industries can meet different levels of profitability part of this difference is explained by industry structure.Michael Porter provided a framework that models an industry as being influenced by five forces. The strategic business manager seeking to develop an edge over foe firms can use this model to better understand the industry context in which the firm operates.SUPPLIER POWERSupplier dumbnessImportance of volume to supplierDifferentiation of inputsImpact of inputs on cost or differentiationSwitching be of firms in the industry carriage of substitute inputsThreat of forward consolidationCost relative to total purchases in industryBARRIERSTO ENTRYAbsolute cost advantagesProprietary study curveAccess to inputs Government policy RIVALRY THREAT OF Economies of crustal plate Switching costsBuyer inclination to substituteSUBSTITUTES Price carrying into action Trade-off of substituteCapital requirementsBrand identityAccess to distributionExpected retaliationProprietary productsBUYER POWERBargaining supplement DEGREE OF RIVALRYBuyer volume Exit barriersBuyer entropy Industry concentrationBrand identity Fixed cost/ Value addedPrice sensitivity Industry growthThreat of Backward consolidation Intermittent overcapacityProduct differentiation1. Rivalry In the traditional economic model, competition among rival firms drives profits to zero. But competition is not consummate(a) and firms are not unsophisticated passive price-takers. Rather, firms strive for a competitive advantage over their rivals. The passion of rivalry among firms varies across industries, and strategic analysts are interested in theses differences. If rivalry among firms is low, the industry is considered to be disciplined. This discipline may result from the industrys history of competition, the role of a leading firm, or casual compliance with a generally understood code of conduct. When a rival acts in a way that elicits a response by other firms, rivalry intensifies. The intensity of rivalry commonly is referred to as being cutthroat, intense, moderate, or weak, based on the firms aggressiveness in attempting to gain an advantage. In pursue an advantage over its rivals, firms can choose from several competitive movesever-changing prices raising or lowering process to gain a terminable advantageImprove product differentiation-improving features, implementing innovations in the manufacturing process and in the product itself.Creatively using channels of distribution using vertical integration or using a distribution channels that is novel to the industry.Exploiting relationships with suppliers.The intensity of rivalry is influenced by the following characteristicsi. A larger number of firms increase rivalry because more firms must complete for the same customers and resources. The rivalry intensifies if the firms have similar market share, leading to a struggle for market leadership.ii. long-winded market growth causes firms to fight for market share. In growing market, firma are able to prove revenues simply because f the expanding market.iii. High fixed costs result in an economy