Telstra SWOT Analysis and Marketing Strategies

Essay by landyxyUniversity, Master'sA-, March 2007

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1.0 IntroductionTelstra Corporation is a telecommunications and information services company. It provides a range of services including fixed line services, Internet access, and business services. Telstra is the market leader in the telecommunication industry in Australia, with one of the most prominent brand names. However, its products and operating services face an increasing threat from competitors. An analysis with recommendations of Telstra marketing is necessary in order to improve its performance.

2.0 SWOT Analysis2.1 Strengths•Telstra is one of the biggest brands in Australia and dominates the leading business position of telecommunications and information services in this country.

•Telstra owns and operates an extensive network infrastructure which will give it a competitive advantage over industry rivals, whose networks fail to cover all of Australia, especially the remote and rural areas of the country.

•Telstra has the latest technology on mobile (Next G Network) and broadband (ADSL 2 Plus) to compete with other telecomm operators.

•Telstra has 115 owned Telstra branded stores and 153 licensed shops that are strategically located across Australia.

2.2 Weaknesses•Telstra is lack of initiative to diversify internationally and limits its growth strategy.

•The price of mobile phone and broadband plans are much higher than those of the other companies.

•Telstra reduced fixed line advertising and invested a huge budget on promoting new products such as Next G Network.

•Telstra is keeping focusing on postpaid mobile phone plans rather than prepaid mobile phone.

2.3 Opportunities•Telstra is the Australian government's contracted data supplier. Through a government initiative, Telstra expanded its CDMA network to rural areas. Therefore, the company has one of the most extensive CDMA networks in Australia.

•Telstra has expanded their services into a highly demanded section of the telecommunications market with the implementation of...