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Swot Analysis of Telecom Sector

Autor:   •  June 27, 2011  •  Case Study  •  416 Words (2 Pages)  •  1,331 Views

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SWOT ANALYSIS OF TELECOM SECTOR

STRENGTHS

The sector is growing at the rate of 10% with latest technology being offered at affordable prices.

A vast untapped rural population which needs services like browsing, etc. at their finger tips.

Multiple usage like finding the nearest Maruti dealer, restaurant, PNR, Shopping, paying bills etc.

WEAKNESSES

Shift from fixed line to GSM and CDMA.

Shrinking ARPU because of lower tariffs, leading to decline in top and bottom line.

Delay in implementation of policies because of dispute among TRAI, telecom ministry (delay in 3G auction and Number Portability).

Network congestion due to low network capacity.

OPPORTUNITIES

Mobile banking- an untapped opportunity.

The government will cut license fees by 33% for those operators which have 95% residential coverage.

Regulator has recommended that foreign players can participate without any local partner.

Growing population will add more number of subscribers in future.

Invention of high end technology which can meet up the rising expectation of the users.

THREATS

High 3G spectrum charges can move up the cost of service.

Pricing war can eliminate the entry of new players.

If Mobile Number Portability(MNP) gets a green signal,

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