Business Strategies of EE Telecommunication: A Comprehensive Report

This report provides a comprehensive analysis of EE Limited's business strategies within the telecommunications sector. It begins with an environmental analysis using the PESTLE model, assessing political, economic, social, technological, legal, and environmental factors impacting the company. The report then applies Ansoff's Growth Vector Matrix to evaluate EE's strategic positioning and growth options. Strategic capabilities are defined, and the VIRO/VIRN model is employed to identify the company's strengths and weaknesses. Furthermore, the report examines the competitive landscape using Porter's Five Forces model and analyzes EE's strategic direction and options through Bowman's Strategy Clock model. The objective is to provide a clear understanding of EE's strategic approach within the telecommunications industry, highlighting its competitive advantages and areas for improvement.

BUSINESSES STRATEGIES

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.) PESTLE model for environmental analysis .........................................................................1
2) Anoff's Growth Vector Matrix ...............................................................................................2
TASK 2............................................................................................................................................3
1)Strategic Capability Means .....................................................................................................3
2) Apply the VIRO\ VIRN model to determine the strategies capabilities of EE Limited
identifying its strength and weakness ........................................................................................4
3)Identifying of the strength and weaknesses of EE Telecommunication industry....................6
TASK 3............................................................................................................................................6
Analysing the telecommunications sectors using 5 porter's forces model..................................6
Task 4...............................................................................................................................................8
Using Bowman's strategy clock model, analyse the strategic direction and option EE
telecommunication organisation.................................................................................................8
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11
Books and journals ...................................................................................................................11

INTRODUCTION
EE limited is very famous company in telecommunication. According this file it explain
the environment analysis while using pestle model it shows the condition of the firm in different
level. It also includes this file Anoff's growth vector matrix to analyse the organisation
strategies positioning (Baird and Baird 2017). This report has also defining meaning of
strategies capabilities it show the performance of the businesses. This file also incudes the
stenghth and weaknesses of the company while using VIRO model. This report is also explaining
the uses of Bowman's strategy clock model, analyse the strategic direction and option EE
telecommunication organisation. The aim of this project to showing the telecommunication
businesses strategies in effective manner.
TASK 1
1.) PESTLE model for environmental analysis
Environmental analysis is strategies tools . It is the process of identifying the external and
internal elements, which directly affects the organizational performance.
The pestal analysis of EE limited is given below:
Political: it is referred with different types of issues which are related to the services of EE
telecom industry (Bjerke and Renger 2017).. The survey of UK higher authority has been
showing the maximum satisfaction of consumer, the UK government of is also investing
telecommunication sectors in collaboration with Ofcom to helping them in giving minimum
coverage with urban areas and also examines issues related with national coverage where
country faces such problems.
Economical: it is also consisted with the recession in 2009 within UK; the government make
some plan related to VAT its main purpose to forcing EE Company contributing in the national
economy (Baird and Baird 2017). It also makes great impact over consumers spending on
services. After recovery of economic conditions, this telecommunication organisation has been
growing with UK as the Gross Domestic product.
Social Factors: it is referred to the usages of mobile phones as well as social networks and other
parts of the internet like unique types of applications it helps to sharing large sizes of files EE
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Telecom organisation is having more benefits of consumers, text messages, email, websites it is
also having greater performance for approaching these clients. It is very help for young people
and consumer is also using these types social sits in business purpose. It is very helpful for
growing their company and it is also effective for EE telecommunication.
Technological Factors: the goal of EE is providing best services to their consumers. The main
motive of this corporation to providing effective network services in UK and their customers.
They also supply LTE 4G services in low costs to attract consumers.
Legal Factor: the government of UK and Ofcom have set some rules and regulation in EE
telecommunication by providing direction to their consumer on withdrawing contract without
giving any payment.
Environment Factors: it is related with ecological forces like usages of infrastructure
development for best services it is referred with restriction within field. Environment forces are
very useful for EE
2) Anoff's Growth Vector Matrix
This matrix is very helpful for analysing risks of different options and also helps to
understand growth of company in longer term and also helpful for identifying need of new
opportunities and ways of increasing profits.
Market Development: it is related to targeting new market or new locations with existing
market. EE Telecommunication Company also tries to sell their products or services in old
market as well as new market with new customers. They also identify threats and upcoming
opportunities in different markets areas (Baird and Baird 2017). This corporation also uses
unique sales channels such as direct sales or indirect through and through agents and negotiator.
They also use market segmentation
Market Penetration: EE focus on developing their new market plan to promote their products
according to their consumer choices. They also introduced loyalty their product and launch their
product with effective prices and this company also giving the special offer to their new services.
Product Development: EE extend their services by producing different types of products and
services. They also want to develop their product or services with effective way so this
organisation improves their customer services and quality. They try to launch new product with
the best quality and providing satisfaction to consumers.
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Diversification: it is very important strategy for using old expertise or achieves goals EE also
implements these strategies because they try to sell their products completely with different
product or giving services to different consumers. This method is very helpful for growth and
development of EE telecommunication.
Market penetration: EE focus on develop their new market plan to promote their product in
according their consumer choices. They also introduced loyalty their product and launch their
product with effective prices and this company also giving the special offer to their new
services.
Product development : EE extend their services by producing different types of products and
services. They also want develop their product or services with effective way so this
organisation improve their customer services and quality. They try to launch new prodcut with
the best quality and providing satisfaction to the consumers.
Diversification: it is very important strategy for using old expertise or achieve the goal of the
economics EE is also implemented these strategies because they try to sell their product
completely with different product or giving services to different consumers.
This method is very help for growth and development of EE telecommunication and it
showing the organisation strategies positioning.
TASK 2
1)Strategic Capability Means
It is related to the ability of successfully employment with competitive strategies of a
business to survive and increasing organisation values within time. Strategies capability is very
helpful for stability of business in long term. EE limited is also the group of telecommunication
it is the leading communication distributors in the UK. This organisation is also committed with
business-to-business channels and they also focus on improving their work ability or efficiency
of business. B2B channel helps to adopting 4G services in the market and it plays a great role in
this organisation as it helps to increase their market share. This industry also achieves the best
award in business communication and providing them better communication services to their
customers. The goal of this firm is to make effective strategies and then implement it with new
technology; it is very effective to provide services to their consumers. EE is the most reliable
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mobile network in UK and was recently awarded the best communication network provider to
their clients.
EE Company is also highly responsive, and is able to extend their capabilities and help
to achieve goals. This organisation makes an effective plan for providing top communication
services in UK. This organisation is the largest telecommunication industry and it providing
advances digital services to their customer (Baird and Baird, 2017). It is very biggest and fast
growing company and they maintain their businesses strategies for long run businesses. They
manage all the work in efficient manner and its main motive to giving best services with
innovation. They also disturbed their service in target market and this company main aim to
increasing their profitability ratio with effective services.
2) Apply the VIRO\ VIRN model to determine the strategies capabilities of EE Limited
identifying its strength and weakness
It is also strategies tools that help to analyse internal resources of company and
identifying the attributes of firm. It shows the value of businesses , that helps to increasing the
value of customer's. This model are very helpful it shows the strength and weaknesses of the
company. This model also help for finding out the performance or value of the businesses.
Valuable: it is related to the EE company resources which is valuable, it help to organisation to
increase the consumer values (Baird and Baird, 2017). This company focus on their product, they
provide different types of services with less price because they show the customer value. They
also providing quality product in order to customer choice. The main motive of this company
giving better services and maintain their customer relationship. It is essential for continually
assessment the value of the resources because some time changing internal or external factor
that can make them more precious value or useless.
Rare: it is temporary competitive advantage, the situation of EE organisation if they use the
similar capabilities like other telecommunication company so they lead to more competing it is
very beneficial for this firm they can easily identify their resources but they cannot achieve their
better performance (Baird and Baird, 2017). They losing valuable resources and capabilities of
organisation is not completely work in their exiting market. It is also refer with the lack of
information so they have to need to searching all details related to their product or resources and
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use in proper way because it is important for increasing the performance of this firms
businesses.
Costly to Imitate: it is consisted with resources of the EE organisation is very expensive if other
company that does not have imitate, buy it at reasonable rate so this company develop their
resources in historical conditions (Baird and Baird, 2017). Imitation refer to directly imitating
their resources. So this company also identifying their specific resource that are giving more
competition. The capabilities of their resources is based on this firm culture.
Organized to capture value: the resources of EE telecom industry do not discuss any
advantage for this firm if they are not organized to capture the value company so this industry
must create its administration system, personnel, processes or organizational structure and
culture to be able to full recognise the actual value of its enterprise, rare, Expensive to imitate its
resources and their capabilities. It is only depend on the company that can achieve their
businesses goal (Baird and Baird, 2017). This company focus on maintaining their product value
in proper way for earning more profit.
Strength
The strength of EE telecommunication through using these model, it shows the values of
customer as company other companies. This company focus on their quality of product as well
as sell their services in reasonable prices. It also focuses on their business strategies capabilities
and implemented their effective plan (Baird and Baird, 2017). The main aim of this firms to earn
more profitability, increasing their sale and also providing customer satisfaction. The major
strength of this company they have so many retails stores so they expand their business in
proper manner. They also giving the several services to their consumers at very reasonable price
the reason is behind that they sell their product or service in large quantity.
Weaknesses
the weaknesses of EE company if they are not introduced their product with effective
quality or reasonable prices so they can earn more profit so it is the biggest weaknesses of this
firm (Baird and Baird, 2017). The major weakness of this firms is to low level of network, some
time it create problems when consumer use these services , some time problems arise in calling
time, messaging times so it is biggest weakness.
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3)Identifying of the strength and weaknesses of EE Telecommunication industry
Strength
The strength of EE telecom have more than 27 million customer service and the main
strength if this company cover all over the area it also providing 3G network across the UK
nations. This firms operate the largest assets in retail stores. This company is introduced 4G
services and they also increased their brand visibility and they concrete raising their market
share (Baird and Baird, 2017). They focus on their product or service with effective manner like
sponsorship with football. This company try to giving best service o their consumer, they
maintain their performance level and they introduced 4G+ in central London. It gives variety of
smart phones and several types of applications. They also providing security of devices and
important data. It has the largest network in UK its main motive to achieve the goal of the
organisation means to cover all over the area within effective services.
Weakness
The weaknesses EE industry they targeting market segment and losing their market share.
Some time this company not focusing on individual level customer's. This company low brand
acceptance, they perceived the brand but that has reduced the value of money. Some time
customer are not satisfied with their services as comparison other telecommunication firms.
Some time this firm not focus well on their product or service quality so they face many issue
like high level of customer complains (Baird and Baird, 2017). They also providing roaming plan
4G network it is very expensive , it creates problems in consumer travel abroad. Some time it
provides poorly network so it is the biggest weakness of this enterprise.
TASK 3
Analysing the telecommunications sectors using 5 porter's forces model
1) Bargaining power of buyers: it is very important aspect it helps to increasing the
demand of the product at low prices, people are ready to buy their product and services
with effective cost. Low price means low revenue but if company sells their product high
rate so organisation raise their production cost. But is one possible one condition if firm
produce their product with quality (Baird and Baird, 2017). So in telecommunication
company also produce their product at high cost of product they also want increasing
their service demand. EE telecom is also increasing their sales in large quantities and
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accessing their consumer in last time and some time few buyer are exist in their company.
So they have to need switching their cost as comparison other suppliers. They have may
substitutes so this company focus on controlling bargaining power of their buyers. The
focus of this industry sells their product with effective prices with providing quality
product.
2) Bargaining power of suppliers: it is related with the strong bargaining power of
suppliers to sell their product or services high priced with low quality. The affects of
this aspects on directly profit of the company (Baird and Baird, 2017). EE
telecommunication firm is also focus on sell their product with effective rate but they are
not focus on quality product, this directly affects this buying enterprise profit because
they have to pay more for materials. There are few number of suppliers but they large
number of buyers. This industry have low level of substitutes and the cost of raw material
is high.
3) Threats of new entrances : this forces are very crucial for finding how it is easy to enter
a specific organisation. If EE telecom company is profitability and there are minimum
barriers to enter new competition in market it is very shortly increase their profit. If this
firms compete for the similar market share, the profit start to down. It is very important
for old organisation to create high barriers to enter in market (Baird and Baird, 2017).
There are many types of new threat like reducing the amount of capital is needed to enter
a market. This company not focus customer loyalty so they reduce customer trust.
Consumer switching cost are low-level and there are no interventions of government
rules or regulation. They are not focus on their product trademarks or they do not have
established brand image.
4) Threats of substitutes: it is related to the threaten when buyer can easily identify
substitutes products with effective prices. Its is the biggest issue face by the EE telecom
industry when their buyer can easily determine their services with better rate so the
customer switch from one services to another with minimum prices for example if
Vodafone providing 4G service in market so EE is giving 3G service to their consumer,
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but customer more prefer Vodafone service rather then exiting company, because
Vodafone also providing the service same service in same price with effective 4G
network (Baird and Baird, 2017). It is the great threaten to this enterprise so they have
need to produce their quality product or services.
5) Rivalry within market : it is consisted with large number of competitors, including
more barriers. EE company growth is slow or business cannot run in effective way. This
organisation competitors are same size and they have not well maintain customer loyalty
lack of trust (Baird and Baird, 2017). The Service of this firm are not unique and this
company is not focus on their product services. This company main motive to compete
aggressively for their market share but its result in this company comes in low level.
These are the five porter's forces model in telecommunication industries or EE, it help to
showing the bargaining power of customer in different way. It also helps to increasing the
demand of product or services and it also shows the potential of firms. This forces use some tools
like help to gathering the information of the product or services or providing the proper
knowledge of services and business performances (Baird and Baird, 2017). These forces is also
to analysing the tactful result of the company and help to formulated the business strategies in
effective manner. The main motive of telecommunication industries is to making well plan,
providing the best qualities services and expanding their business in al lover the world. They
have also one main aim to improve their business performance and increasing their sales.
Task 4
Using Bowman's strategy clock model, analyse the strategic direction and option EE
telecommunication organisation
This model is very important for exploring the options for strategies positioning, it shows
the position of business or products (Sorescu , and et.al, 2017).. The purpose of this model will
have several of options like how the position of services of product is based on its prices or
value. It also help to collecting information from market which is related to position in their
competitor. This model is marketing model with which firms can analyse its positions.
Position 1: Low prices and low value added
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it is referred with bargain basement strategies means only it is not most competitive position
with this Bowman strategies clock model (Puig , and et.al 2017.). The product and services of
EE company is not unique and customer are perceives their value in low level; the price of the
product is continued in low. Its Really conformity the process of product is very low if they are
using competitive method. This organisation can use those tools which are compete with other
suppliers.
Position 2: low price
EE organisation in this position rarely produce their produced large number of quantities. So this
firms products are more valuable (Pearson.Lopes , and et.al 2017). The product of this company
sold at very low prices which earn to low profit margin on single product. They generate high
profits with high volumes of output. This model are very effective it help to increasing the level
of production.
Position 3: hybrid
it is related with the EE organisation they produce their prodct in differentiation mean they
providing unique product in the market ( Wheelen and et. al, 2017).. They also focus on
producimng their services at very low level. This model is very effective, for specifically if they
added claue if prodcut and well applied and offered their consumer in better way.
Position 4: differentiation
EE telecommunication industry focus on their product type provide variety if product in different
way, it is very effective for it help to increasing their business sales and more customer's
attraction. It is the best strategy, this company also use this model for quality prodct as well as
sells their services in reasonable prices.
Position 5 : focused differentiation
it is related to the positioning strategies on luxury and expensive brand like high qualities of
product at high rate. EE used targeted , promotions. Distribution and market segmentation it
help tom lead increasing their profit margin (Montgomery, 2017). So many businesses or
competitors are also use strategies for long run businesses.
Position 6 : risky high margin
it is consisted with the EE company taking high risk for returning high margin means they focus
on their product or services for long run businesses but they also take risk only the purpose this
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company revving high profit margin so they why this firm taking high risk (Kavanagh and
Johnson 2017). The consumer will cut their losses and look for a best quality services in the
reasonable prices.
Position 7 : monopoly pricing
the strength of the EE organisation is depended only themselves as monopoly in their market
they have only work offering their services in market segment (Johnson 2017). Because they do
not have any fear the competition and they have also finding the price of their product services.
Position 8 : loss of market share
it refer to the EE organisation is not able to offer their services that the consumers value, the rate
is too much high so this firms has to take better decision with they start their business standard
price for their service .
CONCLUSION
It can be conclude that EE is reputed telecommunication industry in currently UK, there
are variety of product and service produce in market with high quality. This firms has to make
effective strategies and they also established the brand loyalty. They also increase their market
share and the service of this organisation is much better as compare other telecom companies.
The main motive of the firms generate more profitability margin and providing qualities services
to their customer. They also provide effective service like coverage of network, I also use
different kind of uses of mobile phones and they also use new technology for increasing their
sales.
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