Telstra Management Strategy

TELSTRA 1
Management Strategy

TELSTRA 2
Executive summary
Telstra is proved to be biggest telecommunication industry in Australia. It
is effectively helping customers by adopting several innovative measures. In
spite of its strong brand image, it has to face the tough competitive rivalry from
the different firms. Tesco has also undertaken the needs and wants of the
changing needs of the customers. It is also true that the Australian
telecommunication industry has large number of buyers that can easily switch to
other company if it does not provide the better services. In addition to this,
Telstra has strong brand image due to which it is not too much easy for any
other new entrant to enter in the market. It is providing the services with low
cost as well as offer some unique feature under the differentiation strategy.
Therefore, for beating the competition, some of the strategies are also suggested
to Telstra that will help it in achieving the competitive advantage.

TELSTRA 3
Table of Contents
Introduction........................................................................................................... 4
Competitive rivalry in Telstra.................................................................................4
Vision of Telstra..................................................................................................... 4
Goals...................................................................................................................... 5
Strategic formulation and choice...........................................................................5
Porter’s five forces of Telstra................................................................................. 5
Pestle analysis....................................................................................................... 6
Core competencies................................................................................................ 7
Conclusion and Recommendations........................................................................8
References........................................................................................................... 10
Appendices.......................................................................................................... 12

TELSTRA 4
Introduction
Telstra is the biggest telecommunication company of Australia. After
completing its privatisation in the year 2011, it has become the biggest
Australian company by listing on the securities exchange of Australia with
around one million of shareholders (McDougal, 2017). Telstra is seen as the
biggest telecommunication company by operating as well as building the
telecommunication network and markets mobile, voice, internet access as well
as other products and services (Oh et al, 2008). In the report, discussion is
carried on the competitive rivalry of Telstra. In addition to this, visions and goals
are being discussed with the explanation of the cost leadership and
differentiation strategy. In addition to this, discussion is also carried on the
porter’s five forces as well as pestle analysis (political and technological factors).
As of March 2018, the GVA of the telecommunications services industry in
Australia amounted at around 6.4 billion Australian dollars (Appendix 1).
Competitive rivalry in Telstra
Telstra has different competitors in Australia. Among all the competitors,
the major competitors of Telstra are Vodafone, Optus. Due to this, Telstra has
also regularly built its fixed and mobile broadband base of customer (Troshani &
Rao, 2007). Due to the increasing competition, fall down in the finance of Telstra
is being seen. It has also reported that the profit of $1.8 billion has been reduced
in the next period due to the increasing competition. It also believes that in the
21st century, opportunity clearly belongs to the connected government,
businesses as well as individuals (Reichert, 2017). Due to this, Telstra feels proud
in helping its customers so that they can work and live through the connection.
In addition to this, it also has international presence in around 20 countries.
Vision of Telstra
The main vision of the company is to improve the way of people how they
work as well as life. In order to accomplish this goal, it is essential to formulate
the effective strategy.