The Role Of Marketing In Telstra International

8 Pages 1998 Words

ter services therefore will entice a larger market share worldwide.
1.2 Acquire Resources
By forming an alliance with one of Asia’s larges wholesale telecommunications providers Reach Ltd (Refer to section 4.1) Telstra has acquired access to their worldwide network of submarine cables, I.P Systems as well as satellite systems.
1.3Diversification
Currently there is a major loss occurring in the telecommunications sector across Australia (Appendix Two), however good times are predicted ahead. (Appendix Three) Telstra has recorded a record low of revenue as well as share price in the 3rd quarter of this financial year. By broadening their focus into different global markets, Telstra has been able to pick up the lost revenue in the Domestic market in the global market.
1.4 Minimise Competitive Risks
Currently domestic markets are going through a period of rapid decline where as the global markets are going through a period of immense growth. Global consumers needs are becoming very similar on a domestic level, and therefore marketing strategies can be thought on a more global level.
1.5 Cushioning the economic Cycle
As mentioned in section 1.3 there is a large drop in the telecommunications sector currently occurring across Australia. Since Telstra operates in over 19 countries worldwide (Appendix Four), the drop in the domestic market is having a smaller effect on the overall market.
2.0 Describe Market Research undertaken before International Expansion
Before Telstra expanded into the Asia-Pacific Region, it was extremely important to undertake a specific amount of market research to prove wether the investments were both viable to the financial aspects of the business and the business operations. The Asia-Pacific market had to be analysed both for opportunities and consumer needs. Methods of expansion needed to be assessed to work out which would be more financially viable, a joint venture, a strategic alliance or the cr...