Telstra's Marketing and Management: A Strategic Analysis Report

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This report provides a comprehensive analysis of Telstra's marketing and management strategies, focusing on the launch of a new cordless handset targeted at the older population. It begins with an executive summary highlighting the importance of effective management in achieving business efficiency, particularly in expanding into foreign markets. The report covers Telstra's company background, resources, strengths, and weaknesses. It then delves into market selection, specifically targeting the Chinese market, and discusses market segmentation strategies. Competitor analysis, including brands like Samsung and Apple, is also included. The report concludes with recommendations for training, market research, and action plans, emphasizing the need for Telstra to adapt to the Chinese market's specific needs and regulations. The analysis incorporates SWOT and PESTLE frameworks to assess the external and internal factors influencing Telstra's success in its marketing endeavors.
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Running head: MARKETING AND MANAGEMENT
Marketing and management
Name of the student:
Name of the university:
Author note:
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MARKETING AND MANAGEMENT
Executive Summary
Marketing is a vast concept, which needs the application of effective management techniques for
achieving efficiency within the business activities. The introductory sentence projects the
conjunctive significance of the terms marketing and management. Management is of utmost
importance in terms of achieving infrastructural development, which helps in penetrating into the
foreign markets. Herein lays the appropriateness of SWOT and PESTLE analysis. Within this,
the social parameter is very important in terms of expanding the scope and arena of the business
paradigm. The generalization of these aspects is something, which crosses the boundary of
organizations like Telstra. The selected product of cordless handset for the older people would be
something out of the box for the organization in terms of reaching to more and more customers.
Within this, the effective and judicious utilization of social media is itself an agent, which would
pave the way of enhancing the brand image of Telstra.
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Table of contents
Introduction......................................................................................................................................3
Company background......................................................................................................................3
Initial information........................................................................................................................3
Company resources......................................................................................................................4
Capabilities, strengths and weakness...........................................................................................4
Market selection...............................................................................................................................5
Target country..............................................................................................................................5
Market segmentation...................................................................................................................6
Competitor analysis.....................................................................................................................7
Conclusion.......................................................................................................................................8
Recommendations............................................................................................................................9
Training........................................................................................................................................9
Market research...........................................................................................................................9
Action plans...............................................................................................................................10
References and Bibliography.........................................................................................................11
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Introduction
Management is an essential component, which systematizes the business of companies
and organizations. Herein lays the effectiveness of the term marketing. The introductory
statement reflects the placement of the terms marketing and management in the same alignment.
The roles and responsibilities of the managers hold prime position in terms of achieving the
efficiency in the business (Armstrong et al., 2014). Proper execution of the allocated duties
enhances the productivity of the companies and organizations, such as Telstra. Optimizing the
search aligns with the requirements of the assignment. The purpose of this assignment is to
envision new market ventures for Telstra in terms of the newly launched cordless handsets.
Company background
Initial information
Telstra has achieved accolades and glory by providing the people with reliable broadband
and mobile network services. The major drive behind this is the collaborative attempts of the
personnel for enhancing the productivity of the business. Within Australia, the company has
emerged successful in providing 17.4 million telecommunication services (Telstra.com.au,
2017). The list of achievements does not end here. Along with the mobile services, Telstra has
added satisfaction in the lives of the customers by providing 6.8 million fixed voice services and
3.5 retail fixed broadband services. The personnel envision more connectedness with the clients
and customers in order to expand their business. Herein lies the appropriateness of the motto,
“we help creare a brilliant future for everyone, everyday” (Telstra.com.au, 2017). Adopting
social media would help the personnel to connect with a large number of audience at one go.
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MARKETING AND MANAGEMENT
Taking the clients and customers’ feedback would be crucial in terms of upgrading the standard
and quality of the existing services in order to penetrate into the foreign markets.
Company resources
According to the annual report of 2015, there were 36,165 employees, struggling for
taking Telstra to the peak of success. Dedication, commitment and perseverance towards the
performance of the business activities have enabled the personnel to witness a revenue escalation
of 27.1 billion Australian dollars in the era of 2016. The operating income is 6.3 billion, which
has added 5.8 billion values to the profit margin. The total asset value for the company is 40.45
billion Australian dollars and the equity value is 14.51 billion dollars (Telstra.com.au, 2017).
Capabilities, strengths and weakness
Possession of a large supply chain network is one of the greatest strengths, which helps
Telstra to add to the existing stock of stakeholders and shareholders. Firm standpoint of a leader
like David Thodey was enough to recover the lost market position along with trust, dependence
and the loyalty from the customers. Persistent approach of Thodey towards upgrading the
standard and quality of the services resulted in the introduction of Telstra Digital, which
revolutionized the business as a whole (Telstra.com.au, 2017). Conducting market research
regarding the latest and the modern machines would result in the production of innovative
quality handsets, making Telstra a common name among the native as well as the foreign
customers.
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Market selection
Target country
Identifying the targets would help Telstra in attaining efficiency in the business activities.
For this, market research is an effective example in terms of gaining an awareness regarding the
countries with latest and modern technologies. The remarkable performance of the technological
sector in Australia would be one of the greatest assistance for Telstra in terms of gaining
awareness regarding the specific tastes and preferences of the customers. The earlier sentence
conjoins the strength and the social parameter of SWOT and PESTLE analysis. The latency
issues add vulnerability in the market position of Telstra, questioning the technologies used for
providing quality services to the customers. Setting high price for the handsets would aggravate
the competition complexities (Smh.com.au, 2017). This would adversely affect the Australian
economy, which nullifies the adherence and compliance to the competitive policies and other
marketing legislations. Along with this, frequent change in the technologies would degrade the
quality of the handsets leading to the unsatisfactory customer service. However, consistent
evaluation of the undertaken steps would bring to the forefront the major drawbacks.
Along with this, market research would enhance the clarity of the personnel in terms of
the countries where Telstra can make remarkable progress in marketing. One such country can
be China. Penetrating into the Chinese market would be profitable for Telstra, as China is one of
the biggest exporters of Australia. To be specific, 34% of Australian goods are exported to China
(Weforum.org, 2017). However, at the first instance, stable relationship needs to be created with
the Chinese delegates for indulging in lucrative deals, trades and transactions for taking the
company to the foreign outlets. Along with this, Telstra personnel need to sign the Free Trade
Agreement (FTA) with the Chinese delegates for investing in the threshold of the Chinese
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market. Mere signing of the pact would not offer the Telstra personnel to conduct marketing
activities in China. Both the countries have to abide by the rules and regulations of the agreement
for executing transparent marketing activities (Smh.com.au, 2017). Herein, the political
parameter of PESTLE analysis can be correlated. Violation of the rules and regulations would
compel Telstra personnel to encounter scandalous situations, which would stain the hard earned
reputation.
Market segmentation
Prior to offering the manufactured handsets, Telstra personnel need to conduct market
segmentation. This would improve the focus in the marketing activities. Organizing exhibitions
of the newly launched cordless handsets would attract large number of customers, from where
the company could select their target market. Mostly in these sales exhibitions it is seen that the
youngsters prefer sleek design handsets with all the basic facilities. For the older people, the
need is just a handset, which is easy to carry. If this ease is provided wiin their homes, the older
people would be largely benefitted (Luke, 2014). Sleek design cordless would enable the older
people to talk with their near and dear ones even while sitting in the easy chairs, which is far
away from the main connection of telephone. For this, the wiring needs to be done properly so
that connection is available in every premises of the house. Along with this, the display of the
numbers on the cordless screens needs to be clear for the easy understanding of the older people.
Colorful handsets would add spice to the loneliness, isolation and solitude of the older people.
This type of marketing would be something creative for Telstra in terms of expanding the scope
and arena of the business till the extent of foreign markets (Germann, Lilien & Rangaswamy,
2013).
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Provision of these services to the older people makes the direction of the business B2C.
On the other hand, indulging in contracts with suppliers regarding the accessories of the cordless
handsets reflects the B2B business of Telstra in terms of producing quality services for the
customers.
Competitor analysis
Competition on the first instance reflects the interplay of the brands to grab the hot seat in
the competitive ambience of the market. This interplay acts as a compromise with the needs,
demands and requirements of the customers. Herein the personnel are to be blamed for failing to
fulfill the specific tastes and preferences of the customers.
Telcos, China mobile, China Unicom, China Telecom, Samsung, Apple are some of the
telecommunication brands, which are reining in the Chinese market. Of these Samsung and
Apple pose as the major obstacle for Telstra in terms of venturing into the Chinese market
(Weforum.org, 2017). The difference in the design and features of the cordless handsets are the
initial grounds of competition between the brands. Similarity in the goals contradicts the
difference in the execution of the business activities. Adherence and compliance to the
legislations, especially the competition policies would help Telstra in conducting transparent
marketing. This type of marketing would be one of main agents for achieving loyalty, trust and
dependence from the Chinese customers. The provision of stands along with the handsets can be
one of the grounds, which would help Telstra in emerging out as a customers’ brand in Chinese
market (Weforum.org, 2017). This additional service would aggravate the competition between
brands like Apple, Samsung and Telstra.
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Viewing it from the Porter’s five forces, the provision of stands along with the handsets
in great variety helps the customers, especially the older ones to select the appropriate one. This
reflects the consciousness of the Telstra personnel towards the buying behavior of the customers.
Compliance to the competitive policies would help Telstra to indulge in fair competitions with
the contemporary brands. Herein, the intensity of the “rivalry” of competition gets mitigated.
Apart from this, maintaining stability with the suppliers would assist Telstra personnel to receive
quality products to store in the stock. On the contrary, hostile relationship with the shareholders
would compel the personnel to encounter complexities in terms of producing quality and
innovative cordless handsets for the customers, especially for the ones belonging to the old age
(Weforum.org, 2017).
Conclusion
This assignment emerges successful in providing an insight into the aspects of marketing
and management. Taking the example of Telstra enhancing the clarity of the readers, especially
the businessmen in terms of applying appropriate management techniques for systematizing the
business activities according to the priorities. Optimizing the search and selection of cordless
handsets is an effective example of executing market segmentation. Adopting the means of
survey and feedback would help Telstra personnel to follow customer centric business.
Maintenance of consistency in evaluation would bring to the forefront the major drawbacks,
which, if not modified spontaneously would pose as a threat for the company in terms of
securing the hard earned market position. Herein lays the appropriateness of complying and
adhering to the competitive policies, which would help Telstra to indulge in fair competitions
with the contemporary brands such as Samsung, Apple, china Telecom and the other brands,
which are already in power in the Chinese market. Countering this, marketing mix would help
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the company to experiment with the existing services. Herein lay the appropriateness of the
means of survey and feedback, which would enhance the awareness of the company personnel
about the needs, demands and requirements of the customers.
Recommendations
Telstra has come a long way in terms of achieving customer satisfaction. However, more
distance needs to be covered for expanding the scope and arena of the business. The following
are some of the recommendations, which Telstra can adopt for making proper venture into the
foreign market of china:
Training
One of the most important recommendations is to train the staffs about the basic
management skills. If the training is given in response to an incident, it would prove beneficial
for the company, Telstra to address the issue in an efficient and effective manner. Inclusion of
technology within the training sessions would enhance the preconceived knowledge, skills and
expertise of the employees. Within this, increasing the frequency of the training sessions would
help the trainees to have an easy grasp over the basic ways and means to carry out the business
activities. Taking post training tests would help the managers to assess the capability of the
employees in terms of making practical application of the provided lectures.
Market research
Market research would enhance the knowledge of Telstra personnel about the latest
trends adopted by Samsung, Apple and the other brands. Within this, search engine optimization
would take the personnel directly to the required information. Knowledge of the steps taken by
Apple, Samsung and other brands would help Telstra to manufacture innovative design cordless
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handsets for the older people. Along with this, market research would inform the company
personnel about the future course of actions to be performed by the contemporary brands. This
would bring rationality in the ways and means adopted by Telstra to expand the business.
Action plans
Creating plans would help Telstra to make noticeable progresses with the proposed
projects. Sharing these plans with the staffs in the form of meetings would help the personnel to
gain an insight into the customer approaches towards the launched cordless handsets.
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References and Bibliography
Antoncic, B., Auer Antoncic, J., & Aaltonen, H. M. (2016). Marketing self-efficacy and firm
creation. Journal of Small Business and Enterprise Development, 23(1), 90-104.
Armstrong, G., Adam, S., Denize, S., & Kotler, P. (2014). Principles of marketing. Pearson
Australia.
Baker, M. J. (2014). Marketing strategy and management. Palgrave Macmillan.
Copley, P. (2014). Marketing communications management: analysis, planning, implementation.
Sage.
Germann, F., Lilien, G. L., & Rangaswamy, A. (2013). Performance implications of deploying
marketing analytics. International Journal of Research in Marketing, 30(2), 114-128.
Giacalone, R. A., & Rosenfeld, P. (Eds.). (2013). Impression management in the organization.
Psychology Press.
Hollensen, S. (2015). Marketing management: A relationship approach. Pearson Education.
Huang, R., & Sarigöllü, E. (2014). How brand awareness relates to market outcome, brand
equity, and the marketing mix. In Fashion Branding and Consumer Behaviors (pp. 113-
132). Springer New York.
Kladou, S., & Kehagias, J. (2014). Assessing destination brand equity: An integrated
approach. Journal of Destination Marketing & Management, 3(1), 2-10.
Luke, R. (2014). Creative Marketing: A New Management Philosophy. Balboa Press.
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Mone, S. D., Pop, M. D., & Racolta-Paina, N. D. (2013). The" what" and" how" of marketing
performance management. Management & Marketing, 8(1), 129.
Sheth, J. N., & Sisodia, R. S. (2015). Does marketing need reform?: Fresh perspectives on the
future. Routledge.
Smh.com.au (2017), Australian technology sector outpacing US UK, Retrieved 30th August 2017
from http://www.smh.com.au/it-pro/business-it/australias-technology-sector-outpacing-
us-uk-report-20140731-zyzs1.html
Telstra.com.au (2017), About Us, Retrieved 30th August 2017 from
https://www.telstra.com.au/aboutus/our-company
Weforum.org (2017), Things to know about hina and Australia eonomi ties, Retrieved 30th
August 2017 from https://www. weforum.org /agenda/2016/04/5-things-to-know-about-
china-and-australia-s-economic-ties/
Wirtz, J., & Lovelock, C. (2016). Service Marketing Communications. In SERVICES
MARKETING: People Technology Strategy (pp. 236-287).
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