Go Back   ManagementParadise.com | Management & Business Education Learning Platform PUBLISH / UPLOAD PROJECT OR DOWNLOAD REFERENCE PROJECT > Principles of Management ( P.O.M)

SWOT ANALYSIS ON China Mobile Limited

Discuss SWOT ANALYSIS ON China Mobile Limited within the Principles of Management ( P.O.M) forums, part of the PUBLISH / UPLOAD PROJECT OR DOWNLOAD REFERENCE PROJECT category; ...

Reply

 

Thread Tools Display Modes
SWOT ANALYSIS ON China Mobile Limited
Old
 (1 (permalink))
Abhijeet S
abhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to beholdabhishreshthaa is a splendid one to behold
 
abhishreshthaa
Operations Manager at Management Paradise
Management Paradise Guru
 
Status: Offline
Posts: 7,045
Join Date: May 2010
SWOT ANALYSIS ON China Mobile Limited - November 25th, 2010

China Mobile Limited provides mobile voice and multimedia services through its nationwide mobile telecommunications network, the largest of its kind in the world. Also the most valuable mobile telecommunications company in the world and a state-owned enterprise,[ it is listed on both the NYSE and the Hong Kong stock exchange.

As of 2010 China Mobile has over 570 million customers, one of the world's largest mobile phone subscriber bases.




Strengths

* China Mobile was listed fifth in Millward Brown's Brandz Top 100 Brands in 2007. This would have be unheard of 10 years ago (or even less). The news means that the company is becoming more than a business since it is now also a brand i.e. possessing brand equity and brand value. Other Chinese brands to break the top 100 were the Bank of China, the Chinese Construction Bank and IBBC. It is argued by many that Chinese companies are not strong in relation to marketing but perhaps things are changing.
* The company has made good profits over recent years.
* China Mobile has gone down the acquisition trail on a number of occasions. In its early days it took over Jiangsu Mobile (1997). Other important acquisitions include Fujian Mobile, Henan Mobile, and Hainan Mobile (1999); - and Beijing Mobile, Shanghai Mobile, Tianjin Mobile and Hebei Mobile (2000). These developments have delivered strong growth.
* China Mobile is number one in the Chinese market. It recorded a 67.5% market share in 2006. It is the world's largest digital mobile company, and serves more customers than any other mobile supplier.

Weaknesses

* According to the head of China Mobile, China's home-grown mobile technology is a few years behind that of its international competitors since it was having problems with handsets. Essentially 3G technology was lagging behind. Part of the problem was the choice to swap to TD-SCDMA's network which many would consider inferior to the 3G technology offered by European and American alternatives (which their competitors have decided to adopt).
* The company is not globally diversified. Telecoms companies tend to trade in more than one country, usually through acquisition, joint-ventures or strategic alliances (for example see the SWOT analysis of Bharti Airtel). This may leave the company exposed if the Chinese market were to go into a deep or sustained decline.

Opportunities

* The Chinese economy has undergone enormous growth, which has lead to the huge demand for mobile telephones, devices and technologies. According to the Chinese Government, China is the world's largest mobile market with 520 million mobile phone users. This number could reach 600 million by 2010.
* Budget users in China are driving growth in the mobile telecoms sector. China Mobile reported a net profit between January and March 2008 of around 24.1bn yuan (3.4bn; 2.2bn) which is a rise of 37% on 2007 according to BBC News.
* Since the cities have become saturated, much of the new growth is predicted for rural China and it is this segment that is most likely to be targeted by the large operators. 3G technologies provide the largest opportunity for China Telecom.

Threats

* New subscribers are mainly low-use, low-value. So average revenue is falling as the mobile phone market matures and the market becomes more price competitive. So mobile phone suppliers are awaiting the introduction of 3G mobile technologies to rejuvenate the market and stimulate demand as Chinese customers consume the new added value services.
* China Mobile could face more competition in the future as the Chinese Government plans to allow more operators into the market. China Mobile has 70% of the 2G market in China. China Unicom wants to become the biggest 3G operator, and China Telecom aims to win 15% of the 3G market by 2010.
* China Mobile has a number of service obligations under agreements with the Chinese (PRC) Government. So the business may be obliged to provide unprofitable services that pay a social dividend. Added to this the Ministry of Information and Industry has allocated a limited frequency (44MHz) to the company which will not support large numbers of subscribers in the future.
Advertisements



Help Others > Network > Grow


Work with us part time/full time as forum moderator. Email us your resume on careers @ managementparadise.com PLS PRESS THANKS BUTTON IF U LIKED MY POST.


To view links or images in signatures your post count must be 0 or greater. You currently have 0 posts.
Friends: (0)
Reply With Quote
Reply

Bookmarks

Tags
analysis, china, limited, mobile, swot
Related to SWOT ANALYSIS ON China Mobile Limited
 

Similar Threads

Thread Thread Starter Forum Replies Last Post
SWOT ANALYSIS OF SAMSUNG MOBILE Mayank A Marketing Management ( RM , IM ) 5 December 18th, 2015 04:50 PM
SWOT ANALYSIS ON T-MOBILE Abhijeet S Principles of Management ( P.O.M) 1 June 11th, 2015 07:08 PM
A SWOT ANALYSIS ON SUZLON ENERGY LIMITED, Suzlon's wind energy business traces Pramod .. HOT Debates - The Big Fight 0 October 25th, 2010 09:49 PM
Pest Analysis & Swot analysis Karan Shah Business Environment (B.E) 0 July 30th, 2010 01:21 AM
Debtors Velocity Analysis of Bharti Televenture Limited (AIRTEL) Prashant Ravindran Financial Management 0 June 29th, 2009 01:33 AM
 


Thread Tools
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is On
Trackbacks are On
Pingbacks are On
Refbacks are Off


ManagementParadise.com is not responsible for the views and opinion of the posters. The posters and only posters shall be liable for any copyright infringement.



Search Engine Optimization by vBSEO ©2011, Crawlability, Inc.