Example research essay topic: The Role Of Marketing In Telstra International - 1,218 words

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... therefore has a range of international investments. Movements in the Australian dollar against other countries could affect operating revenues dramatically. To counter strike this, Telstra swaps foreign currency borrowings into Australian dollar equivalents. Occasionally there are exceptions however this method has proven to remove the foreign exchange risk. 5. 1. 2 Economic Developments Telstra is dependant on the general economic conditions in Australia, including levels of Gross Domestic Product (GDP), Interest Rates and Inflation. A significant determination in these conditions could adversely affect the business activities and the results of operations. 5. 2 Political Influences 5. 2. 1 Restrictions on Foreign ownership The Australian government has two specific Acts set in place to protect Telstra from international take over, they are the Telstra Act and the Foreign Acquisition and Takeover act 1975. 5. 2. 1. 1 Telstra Act The Telstra Act states that an unacceptable foreign Ownership situation will exist if all foreign persons and associates hold in total a particular stake of more than 35 %. 5. 2. 1. 2 Foreign Acquisition and Takeover Act 1975 This Act applies to any acquisition of an interest in the shares of an Australian company with total assets of A$ 50 Million, which would result in, and foreign person controlling 15 % or more. 5. 3 Legal Influences 5. 3. 1 Hong Kong Telecommunications Regulation Unlike many other countries, Hong Kong is void of a general competition law.

The Telecommunications Authority regulates anti competitive behaviour by issuing competition provisions in licences which states: Shall not engage in any conduct which, in the opinion of the authorities has the purpose or effect of preventing or restricting competition in the operation of the service in any market 6. 0 Establishing Marketing Objectives Internationally the marketing objectives are in 2 main areas, Applications and Content and in international expansion. 6. 1 Applications and Content Focuses on enhancing their capabilities to provide services more efficiently by developing new innovative products and then to further expand into these markets. This involves constantly redefining the market strategies and product line to ensure the best quality products at the best possible price. 6. 2 International Expansion Focuses on increasing revenues and earnings from outside Australia, especially throughout the Asia-Pacific region. This includes strategic alliances and joint ventures already in progress as well as reviewing opportunity for new investments on a global scale. 7. 0 How have Marketing Strategies been adapted to the Global Market 7. 1 Research of Market The conflicting regulatory environments regarding communications use of data and control of Internet access cause variations in regulatory environments. For more information refer back to sectioStandardisation Services such as online gaming are standardised in both Australia and the Asia Pacific Region. Telstra offers the Wire play service in Australia and Hong Kong CSL offers the Now service in the Asia-Pacific region. These are both similar in price, quality and service. 7. 3 Differentiation Services such as broadband supply vary between each country.

Telstra supplies broadband to users in Australia at a fixed cost with no time limit but a download limit. However Hong Kong CSL offers broadband to users in the Asia-Pacific Region at a time-based cost with no limit in downloads. 8. 0 How has global marketing contributed to the success of Global Operations 8. 1 Financial 8. 1. 1 Obtaining Finance There are 2 ways that Telstra obtains its finance through the issue of shares as well as the sale of assets. In 1997, the government sold 33. 3 % of shares and then in 1999, the government sold a further 16. 6 % of Telstra shares. There are laws currently enforced by the government, which state that the Australian Government must be the majority shareholder.

However, it is being claimed by both Telstra as well as the government cannot be the major shareholder as well as the major regulator at the same time. It is now looking very likely that we will se a further sale of Telstra within three years (Appendix Eight), which will prove to provide Telstra with a large amount of excess capital. On the 1 st of February 2001 Telstra sold its global wholesale business to fund the majority of the joint venture between Telstra and REACH. 8. 2 Marketing 8. 2. 1 Global Branding Telstra has no specific brand name, which is used, all over the world. The brands used vary from country to country.

In New Zealand the brand used is Saturn Telecommunications. In Hong Kong the brand used is Hong Kong CSL and obviously in Australia the brand used is Telstra. Although there is no consistent global brand recognisable throughout the world, in the markets in which the various subsidiaries operate the brand names which they use are very well known, trusted and respected. 8. 2. 2 Standardisation/Differentiation Refer to section 7. 2 and 7. 3 8. 3 Employment Relations 8. 3. 1 Organisational Structure Telstra as an entity uses the International Area structure. Telstra is divided into 4 strategic business units, Domestic Retail which comprises of Telstra Retail, Telstra On Air and Telstra Country Wide, Telstra Wholesale, Telstra International and Infrastructure Services.

Telstra International is the head of all International operations in the Telstra Corporation. 8. 3. 2 Staffing Telstra takes a Decentralised approach to staffing in all countries of operation. Managers in each region are in charge of making decisions regarding their various subsidiaries, which they control. This allows the managers to get to know the markets, which they control. Therefore the managers are able to make the appropriate decisions in the market. 8. 4 Operations 8. 4. 1 Sourcing Telstra sources Satellites, Submarine Cables and I. P. Systems from REACH.

This was a more financially viable option to creating their own network as well as being a more practical and cost effective way to obtain the resources. Bibliography Telstra Annual Report 2001 Telstra Half Yearly Progress Report 2002 Internet Sites Whirlpool The Australian Broadband user Community web Australian Department of Foreign Affairs and Trade web > Pacific Century Cyber Works web > Telstra Australia web > Telstra Clear New Zealand web > Reach Ltd web > Xantic web Newspaper Articles The Australian Financial Review Telstra hit as Revenue Sink 05 / 03 / 02 Testing the mood of the market 29 / 05 / 02 Telstra rebate pressures rivals 28 / 05 / 02 Telstra sale is back on the Agenda 02 / 05 / 02 The Sydney Morning Herald Ziggy keen to generate more of Telstra's income in Asian region 09 / 05 / 02 The Australian Telstra Sale: Coalition Near a Deal 28 / 05 / 02 Telstra sees good times ahead Date Unknown Magazine Articles The Bulletin Ziggy's Chinese Burn July 24 th 2001 Business Review Weekly Telstra tries to grow up in a world of Internet Giants January 21 st 2000 Bean me up, Ziggy August 6 th 1999 Ziggy's Mission March 8 th 1999

Research essay sample on The Role Of Marketing In Telstra International