Notes

SWOT Analysis on Telecommunications

Even in Asia where developing countries are on the run to compete with westerners, technology is prevalent especially in Jakarta, Indonesia, Beijing, China, Tokyo, Japan and Kuala Lumpur, Malaysia. XL Axiata, a subsidiary of Axis Capital Group has released their SWOT analysis on the prevalence of telecommunications and technology in people’s lifestyle.

Strengths
A telecommunications should identify the internal structures within the industry or company that are performing well or better than expected. The internal structures could highlight human resources, physical capital or elements within the company’s control. For example, the telecommunications strengths may highlight economies of scale, an engaged and active management team, high staff morale, a strong brand name, first-rate field equipment and sustainable business modeling.

With the fast pace of the modern world, telecommunications also find its strength in the continuous growth of technology, which in most reviews by experts will never go timid and dull but will further develop as times go by.

Weaknesses
Telecommunications weaknesses may highlight an ineffective Board of Directors, low broadcast frequencies, poor customer service, low signal strengths or a high overhead cost structure.

In other reviews, corroded cable lines, slow service and lackluster sales are three weaknesses that can hurt a telecommunications company. Company weaknesses are competitive deficiencies that place the company at a disadvantage in the marketplace. If corroded cable lines aren't replaced and slow service continues, for example, angry customers will switch to a rival telecommunications company that offers better services.

Opportunities
Telecommunication opportunities may highlight a decline in competitors, a decrease in the cost of broadcast signals, technological advances, an increase in communication networks and channels, or new tax incentives. New technologies, increasing consumer interest and a decrease in competition are just a few external opportunities that can really help a telecommunications company in the long run. Opportunities are beneficial, outside events that a company can use to boost its existing strengths. A telecommunication company keen on rapidly adopting new technologies, for example, would highly benefit from immediately investing in new fiber optics the moment they're introduced in the marketplace, especially if they speed up service.

Threats
Threats may highlight a shrinking economy, less demand for telecommunications services, an increase in health care costs, increased regulation or changes in the population.

As we all noticed, only a few telecommunications companies dominate individual countries. In most developed and developing countries, the maximum number of Telkom is 2-4 as it is very hard to compete with other companies who already planted their foundation in the industry.

Fraud companies which also produce counterfeited telecommunications products also pose as threat to the growth of telecompanies which offer legit and quality assured services. This issue is rampant mostly in Asian countries.