At&t’s Strategic and Operational Growth Plans

AT&T’s Strategic and Operational Growth Plans

Delphine Guyton

University Of Phoenix Online

Abstract

In my paper, I will be discussing the strategic and operational plans for AT&T's continued growth. Based on the information found in the company's SWOT analysis I will be taking a look at what AT&T's growth plan means for the organization.

AT&T has a clear growth plan ahead in both wireless, via international expansion, and in wireline, via U-verse.

AT&T is expanding in a million different directions. AT&T is quickly growing its Wireline business behind U-verse. This expansion includes broadening its TV presence with DIRECTV and expanding internationally in Latin America and Mexico.

Brian Nichols, (2015): Specifically, U-verse is growing north of 20% annually and accounts for more than 10% of the company's total revenue. Retrieved from http://seekingalpha.com

With the purchase of DIRECTV, AT&T not only became a leader in the satellite world stateside but also within South America. In addition to the DIRECTV purchase, AT&T also bought two more companies, Nextel Mexico, and Lusacell.  With the purchases of two more companies, AT&T's network size jumped from 300 million to 400 million. Also, AT&T moved into two countries and with that move came an additional 100 million users. These are all huge and positive gains for the company, and in time the shareholders.

Because of AT&T's size and intricate structure, the company struggles at times to adapt in the wireless market. Smaller competitors can bring new products to market faster and with lower development costs. Other companies have more flexibility with data packages and discount payment programs without affecting a huge customer base. AT&T must also be aware of ever-changing FCC regulations that can affect growth for the company.

 In regards to operational plans, AT&T is in the process of forcing its existing DSL and Telco customers over to its expanding U-verse via migration process. Offering free installation and promotional prices to switch. AT&T is also offering similar incentives to lure in new customers who have DIRECTV by offering bill credits for every new line of service. Through continuous training, AT&T employees are learning how to assist customers with all platforms available. Installation technicians that are learning to install and repair DIRECTV are examples of the new training.