Optus Market Analysis

Strategic Marketing
[OPTUS MARKET ANALYSIS]
[NAME]
[INSTITUTE AFFILIATION]
[DATED]
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Table of Contents
Optus Company Overview...............................................................................................................................................3
Singtel and its effect on Optus’s Business.......................................................................................................................3
Optus Potential Problems due to Singtel Management..............................................................................................3
Optus Corporate Culture.............................................................................................................................................4
Optus Market Position-Situational Analysis....................................................................................................................4
Optus and its Strong Alliances.....................................................................................................................................5
Strategic CSR and Agendas..........................................................................................................................................5
Optus Failure in the Telecommunication Industry..........................................................................................................6
Charges by Australian Competitions and Customer Commission................................................................................6
Delay in answering time-Threat to Customer Satisfaction..........................................................................................6
Opportunities for Optus in Australian Telecommunication Industry...............................................................................7
Conclusion....................................................................................................................................................................... 7
References.......................................................................................................................................................................8
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Optus Company Overview
Founded in the year 1981, Singtel Optus Pty Limited is now the second largest telecommunication brand in
Australia (Buvaneswari & Babu, 2013). The wholly owned subsidiary of Singapore headquartered company,
Singtel, mostly operates its infrastructure. Optus provides services to the end users directly, and also works
as a wholesaler to multiple service providers like Amaysim and Exetel. Headquartered in Macquarie Park,
Sydney, Optus deals with numerous services including mobile telephony, Internet Access, Fixed Telephony,
Cable Television, Data Transmission, and Leased Lines. As of the data accessed in 2015, Optus has over
8000 employees working in its stores (Bhatti, Abareshi, & Pittayachawan, 2016).
Optus now owns multiple subsidiary brands like Boost Mobile and Virgin Mobile Australia. The company
also operates its network infrastructure and resells the services from Telstra, its main supplier. Optus has
been providing services to residential customers, corporates, and small to medium businesses as well. Over
the last three years, the company has introduced the latest technologies to stay competitive with other major
players of the telecommunication industry in Australia. But, the introduction of innovative technologies and
products has backfired such new technologies ended up frustrating customers and acted as a repellent to
Optus’s business prospects (Barney & Hesterly,2010).
This report is written with a purpose to analyze the success of Optus, conduct the situation analysis, and
provide an overview of problems and opportunities in the telecommunication industry (Declerck & Hayes,
2016).
Singtel and its effect on Optus’s Business
Singtel Group is a monopoly telecommunication company in Singapore, which is owned by Temasek
Holdings-the financial investment branch of Government of Singapore. Hence, ever since Optus went under
Singtel’s wings, the company, the company developed a close relationship with the government of
Singapore and now they are operating under a hierarchy and centralized structure as depicted in their level
of division in management roles- ‘Breaking barriers and Building Bonds (Thompson, 2018).”
Optus Potential Problems due to Singtel Management
Singtel boasts of having a high influence in the management and establishment of Optus as shown in
Optus’s code of conduct. Optus shares the core purpose, vision, mission, and all values of the Singtel.
However, despite this stronghold of Singtel Group over Optus, Optus gets to enjoy the benefits from the
parent company is providing, for example, the infrastructure, finance, and knowledge. Yet, the strong
control of actions and the management level influences has raised concerns for the Government of Australia
and other regulatory bodies (Teece, Pisano, & Shuen, 2017).
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