problem03 yunyan chang-hong fei

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    A Success in Chinese ICT Industry

    China Mobile Limited

    Yunyan Chang

    Hong Fei

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    Overview

    Brief introduction of CML Development Strategies Current SWOT analysis Prospective development

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    What is China Mobile?

    China Mobile Limited, which is the leading mobile services

    provider in China, boasts the world's largest mobile network and

    the world's largest mobile customer base. Over ten years of efforts,

    China Mobile has established a comprehensive network with large

    coverage, high quality, rich variety of businesses and first-class

    customer services.

    China Mobile operates not only basic mobile voice services but

    also value-added services such as data, IP telephone and

    multimedia. It has the right to operate Internet services and the

    international gateways, reputed for its brands like Go-Tone, Easy-own and M-Zone.

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    Popular Products

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    As of 31 December 2010, the Group had a total staff of 164,336 and

    a customer base of 584 million, and enjoyed a market share of

    approximately 69.3% in Mainland China. The Group's GSM global

    roaming services covered 237 countries and regions and its GPRS

    roaming services covered 186 countries and regions.

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    Why successful?

    The Eternal Goal of China Mobile:Striving to become creator of superior

    The Corporate Mission of China Mobile:Communicate a boundless world and construct an information society

    The Core Value of China Mobile:Responsibility makes perfection

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    Blue Ocean Strategy

    Blue ocean, denotes all the industries not in existence today,

    which describes the wider, deeper potential of the unknown

    market space, untainted by competition.

    Blue Ocean Strategyholds the idea that growth and profits an

    organization can generate by creating new demand in anuncontested market space, are much higher than by competing

    head-to-head with other suppliers for known customers in an

    existing industry.

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    Blue Ocean Strategy

    Strengthen new customer acquisitionsTarget: young users and migrant-markets

    Tap the potential of voice services Promote value-added business

    i.e. SMS, Wireless Music, MMS

    Focus on improving customer experience and creating value forcustomers

    Enrich and enhance products for family and corporate customers Explore new operating models

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    Low-cost and Efficient Strategy

    Centralizationcentralized financial management, centralized network operations andmaintenance, centralized procurement

    Standardizationapplied in various aspects including equipment configuration, construction

    regulation, business processes and corporate management, to enhanceefficiency and quality, and ultimately reduce cost.

    Informatizationthe efficiency of operational management is greatly enhanced throughmanagement information system

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    Client-centralized Strategy

    CML adheres to its mantra of "Customers are our priority, quality

    service is our principle" and endeavors to build its new competitive

    advantage in services. It has preliminarily set up a network quality

    evaluation system based on customer perception, which intend to

    improve network quality from the perspective of customerexperience and assured customer satisfaction. The Group's

    customer satisfaction rate and complaint rate per million

    customers for 2010 were the best among its industry peers in

    Mainland China.

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    Social-Friendly Strategy

    China Mobile has established a sound relationship with the

    government and local society by playing an active role in

    various social activities as a supportive method for promoting

    its products. Besides, the Group also did a great job in

    disaster relief and emergency communications operations. Italso established the Environment Protection Education

    Foundation for the sake of public welfare project. Owing to

    such efforts, China Mobile was honored The Best Corporate

    Citizen by multiple bodies.

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    What is CML currently facing with?

    S W

    T O

    Abundant business resources

    Stable client sources

    Huge business scale

    Good brand image

    Immature management system

    Inefficient operational procedures

    Decrease in fixed-net users

    Emerging competitorsflooding into Chinese ICT

    market

    Intensifying competitions fromlarge international companies

    Fast-changing marketsituation

    Supportive policies

    Various demands from customers Fast development of Chinese ICT

    industry

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    Prospective Future

    Support System Accurate market

    analysis

    Increase managementefficiency

    Explore new operatingmodels

    Technically

    Optimize networkquality and operating

    support capability

    Step up in technologicalinnovation

    Establish low-costInternet Data Center

    (IDC)

    Client Services

    Better target the needsof customers

    Improve customerexperience

    Pursue refined sales andprecise services

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