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Executive summary The writer of this report is working as the Vice President of Competitive Intelligence (v PCI) on a multi-national and multi-business company. The CEO has asked the v PCI to investigate whether the company should enter the Malaysian market. The companys product is telecommunication infrastructures. The purpose of the report is to analyze and evaluate a major telecommunication infrastructure development in Kuala Lumpur, Malaysia, from January 2003 and for the following five years.
Furthermore, the v PCI is supposed to prepare a briefing for the Board of Directors to indicate how a relevant competitive intelligence system might be established. The 3 G industry in Malaysia is on its move, the licenses to offer products and services in the 3 G infrastructure will be awarded in July, 2002. The governments will is that, no matter how many licenses, only one infrastructure system should be put up. In the SEPT-analysis, I found that Malaysia is an attractive country to enter since its economy will continue to grow. Furthermore, the government is eager to achieve industrialized nation status, which increases the driving forces for new technology in Malaysia. In Porters five-forces-model I found that the telecommunication industry is not that attractive in Malaysia, due to few customers and high competition.
I think the only cost for trying to get the infrastructure contract is to set up a CI system and monitor customers, competitors and country issues as government statements and economical changes. Since the costs for setting up the CI system and the annual monitor costs are low compared to the potential, I think we should try to get the contract. Concerning the CI system, I think we have to set up one immediately in order to monitor our customers, competitors, and country issues. The team should consist of managers from every function of the company. The teams tasks is to identify sources, collect data and information, analyze data and synthesize information, and make strategic proposals to the CEO and Directors of the Board.
Table of contents 1 Introduction 1 2 Introduction to the industry 2 2. 1 Industry outline 2 2. 2 Telecommunications relevance 3 3 Analysis 3 3. 1 Analysis of country issues 3 3. 1. 1 Social factors 3 3. 1. 2 Economic factors 4 3. 1. 3 Political factors 4 3. 1. 4 Technological factors 5 3. 2 Analysis of city issues 5 3. 3 Analysis of industry issues 6 4 Competitive intelligence system 7 4. 1 Evaluation of the CI system 8 5 Strategic advises 9 6 References 10 6. 1 Authors 10 6. 2 Articles on World Wide Web 10 6. 3 Articles on World Wide Web (no author) 10 6. 4 World Wide Web, organizations 11 6. 5 World Wide Web, competitors 11 Appendix A 12 Country outline 12 Appendix B 14 City outline 14 Appendix C 15 Evaluation of the sources 15 Appendix D 16 Setup and annual cost of the CI system 16 1 Introduction The background of this report is that the writer is working as the vice President of Competitive Intelligence (v PCI) on a multi-national and multi-business company. Among other businesses, the company sells telecommunication infrastructures to operators in the 3 G-industry. The CEO has asked the v PCI to investigate whether the company should enter the Malaysian market, and especially Kuala Lumpur. Since the companys product is telecommunication infrastructures, a complex and expensive investment, it is possible that the company has to enter the whole of Malaysia and not just the capital, Kuala Lumpur. This is, of course, depending on the customers, which are the operators in Malaysia. The purpose of the report is to analyze and evaluate a major telecommunication infrastructure development in Kuala Lumpur, Malaysia, from January 2003 and for the following five years.
Furthermore, the v PCI is supposed to prepare a briefing for the Board of Directors to indicate how a relevant competitive intelligence system might be established. If the reader of the report is not familiar with Malaysia and Kuala Lumpur, the writer suggests that the reader starts by reading Appendix A, country outline, and Appendix B, city outline. The information used in the report has been collected from secondary sources as articles and publications on the Internet foremost, but also textbooks. When it comes to evaluate the sources reliability and validity, I think that it is a crucial part of the investigation. Concerning the electronic sources that are used in this report; I have only used sources that have a well-known webpage owner, and only non-anonymous quotes from articles. Despite this I have found articles that claim two opposite opinions, in those cases I have tried to investigate further to get a more reliable source.
When that has not worked out as it should, I have referenced both sources in the report and made my own conclusions. For a full list of my judgment, see Appendix C. 2 Introduction to the industry In order to introduce the reader to the industry, this section gives a brief outline of the Malaysian telecommunication industry. 2. 1 Industry outline The telecommunication industry in Malaysia is on its move. Soon the government will release the 3 G-licenses. The decision of how many licenses the government is going to give out and which companies that will get them, will be made in July, according to Malaysia's TRI and DiGi to make joint 3 G bid (2002). The license gives the owner the right to offer products and services over the telecommunication infrastructure that has not yet been built. The licenses will be given to the companies that, according to the government, have the best offer.
The government will hold a so called beauty parade (ibid) before awarding the three 3 G mobile licenses, based on a firms technical expertise, track record as a company, and their infrastructure spending plans. At first, the government meant to give out three licenses, if there were three satisfying offers (ibid). According to Malaysia sets rules for 3 G beauty contest (2002), the Energy, Communications, and Multimedia Minister Leo Movie said that the government might award the licenses to fewer than three operators. In contradiction, the Prime Minister said, according to Malaysia unlikely to issue licenses by auction (2001), last year that the Malaysian government is not likely to auction the license for a third-generation (3 G) multimedia mobile telecommunications network, but will instead award it to a chosen company.
web claims that there probably will be a consolidation of the existing five carriers into three. According to Malaysia's TRI and DiGi to make joint 3 G bid (2002), the government has told the five current operators to share network and infrastructure to avoid duplication. According to Newlands (2001), the Malaysia's Communications and Multimedia Commission chairman has said that the 3 G services are expected to be introduced locally by late 2003 or early 2004 after the issuance of spectrum assignments in July next year at the latest. In contradiction, web claims that the 3 G mobile service is expected to be rolled out in 2005. 2. 2 Telecommunications relevance Malaysia and Kuala Lumpur do not have any infrastructure for the third generation mobile phones. This will be needful, for Malaysia as a country and Kuala Lumpur as a city, to become a powerful competitor on the international and globalizing market, in order to attract companies and skillful employees.
In addition, there are trends that indicate future prerequisites of the telecommunication industry. According to Plunkett Research, Ltd (2002), examples of present telecommunications industry trends are; continued rapid growth in wireless communications, convergence of wireless phones and the Internet, and expansion of broadband access options and fiber-optic networks. Furthermore, the Malaysian government has taken an active role in integrating IT and telecommunications into the community. Therefore, I think that Kuala Lumpur and Malaysia will need third generation telecommunication infrastructures, i. e. our compa...
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Research essay sample on Telecommunication Infrastructure In Malaysia
