Singtel Business Strategy
Autor: sylvia105 • August 17, 2015 • Case Study • 1,708 Words (7 Pages) • 692 Views
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Business strategy of SingTel
Student name: Xiang Yuxin
Student ID: 13213137
Class code: Bsc21F
Word count: 1619
- Introduction
Singapore Telecommunications Limited (Singtel) is Asia’s leading communications group providing a portfolio of services including ICT, pay TV as well as voice and data solutions over fixed, wireless and internet platforms. The Group has presence in Asia and Africa with over 500 million mobile customers in 25 countries, including Bangladesh, India, Indonesia, the Philippines and Thailand. We also have a vast network of offices throughout Asia Pacific, Europe and the United States. Singtel is listed on both the Singapore Exchange (SGX) and the Australian Securities Exchange (ASX). They employ about 22,000 people worldwide, with about 13,000 employees in Singapore and 9,000 in Australia (Info.singtel.com, 2015).
The purpose of this essay is to discuss distinct strategies that SingTel applied for their business as well as evaluate those strategies based on what we have learned.
- Business strategy
- Competitive strategy
Although SingTel is the biggest service provider in the telecommunication industry in Singapore, SingTel provides mobile phone, IPTV, ISP and fixed line telephony with customers, Starhub still plays an important role and have a considerable profit. Therefore, as for SingTel, Starhub is considered as a powerful competitor. And recently, these two companies have turned to television services rather than old mobile service (Chen, 2002).
From 2007 to 2009, Starhub bought the copy right of English Premium League, and it needed to pay US $1,500,000 for each year. Because of the copyright, Starhub has a series of television channels related to entertainment and sports. It is a competitive advantage and actually, Starhub has already exceeded SingTel in the cable television service.
Nevertheless, SingTel made a strategic decision in recent years which strengthened its competitiveness. SingTel won the bid of being a holder of English Premium League or Mio TV as the Starhub has been beaten. Also, the ESPN star sports channel which includes F1 motor racing, US open golf, Wimbledon tennis and English FA cup will be accounted as SingTel’s channels as well. Because of this, SingTel will absolutely expand branches to fulfill needs.
And Starhub is not failed in the television cable service competition, the platform of Starhub still can show the football matches to subscribers on Goal TV with delayed rebroadcast.
After SingTel takes places of Starhub and has become the holder of English premium league channels, SingTel signed a three year contract with them which ensure its long-term profit. The contract started from August 2010 and contains of internet right, mobile and television services. In particular, the current payment of those Starhub’s subscribers who subscribe these channels will transfer to SingTel.
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