British Telecom Case Study Example | Topics and Well Written Essays - 1750 words

British Telecom - Case Study Example In order to understand and evaluate them one needs to analyze the marketing position of British Telecom and assess the strength and weakness of its position in the market as well as opportunities that can be explored by the company and the threats which it should avoid. Marketing. Strength. British Telecom is one of the largest telecommunication companies in the world and it holds large share of the market of telecommunication industry. It possesses enough financial and economic resources to compete in the market, especially against new players in the niche where it operates. The company conducts aggressive and effective advertising campaign in order to stay abreast of the current trends in the market and lure potential customers to use its services. The company has started successful advertising campaign with Kris Marshall (the budget of the campaign is 40million GBP). Apart from traditional television advertising campaign British Telecom has recently shifted its focus on online advertising which will expand the pool of its customers. If one takes into account the fact that British Telecom intends to advertise its broadband services, then the move to concentrate on online advertisement is undoubtedly the step in the right direction as this type of advertisement campaign will target the potential customers of broadband services. Apart from the traditional national market, the company expands rapidly in the overseas markets as well. British Telecom operates in Western European market as well as Scandinavian countries and nations of ex-Communist block. It also provides the services to the customers of Asia and Northern America. Rapid expansion in new developing markets reflects high flexibility of the company. Weakness. In spite of the fact that the company can operate successfully, only if it takes efficient steps to react to the changes in modern technology, it must not forget that it is a telecommunication company. One should try to concentrate on this niche of the market and not to expand rapidly in the market of online industry; if the company expands in other markets and starts providing too many services, unrelated to telecommunication market, it might entail "erosion" of its brand. Customers who now associate British Telecom with telecommunication company will not be able to associate this brand name with any particular industry and rather will have association with multiple services, if the company expands too rapidly in other markets. Overexpansion on other market of other countries may reduce its market share in the United Kingdom and might require additional resources. Large pool of existing and potential clients. Strength. The company has one of the largest pools of potential and existing customers in telecommunication industry. The service of fixed exchange lines has been rising steadfastly since 2002, more robust growth was evident in the wholesale of ADSL end users of the British Telecom (the growth constituted