Introduction
Strategic planning is a process by which the organizational management decides the activities to conduct, determines their objectives and goals, and allocates resources to help participants perform their duties. The strategic planning process facilitates operations within the organization in a formalized manner and ensures the effective use of resources to complete the proposed projects. Therefore, it is a critical activity in all organizations since it helps in resource management and determine the most effective activity. Etisalat is one of the biggest telecommunications service providers in the world, with operations in the United Arab Emirates, Saudi Arabia, Egypt, and India. The business, founded in 1976, provides various services, such as mobile, fixed line, broadband internet, digital TV, and more. It is the top fixed-line and mobile service provider in the UAE and ranks as the fourth-largest mobile network operator in the world in terms of revenue. The business aspires to be the region’s top provider of digital services. The company aims to give consumers high-caliber, innovative services to improve their overall experience.
Vision and Mission
Etisalat aims to offer its clients innovative, high-quality services to improve their experience. Its vision is to be the area’s leading provider of digital services. The company’s guiding principles are customer attention, excellence, innovation, integrity, and teamwork. Its main strategic goals are to boost operational effectiveness, become an innovation leader, and grow its client base and market share.
Values and Key Strategic Priorities
In all it does, Etisalat is dedicated to putting its clients first. It works hard to provide top-notch services and goods and actively pursues innovation to stay one step ahead of the competition. Honesty is essential to how it does business, and it recognizes the role of teamwork in attaining success. Its major aims are increasing its market share, pioneering innovation, extending its client base, and improving operational effectiveness.
SWOT Analysis
The company’s strengths are its broad geographic reach, dedication to customer service, and great brand recognition and client loyalty. Lack of diversification and reliance on the UAE market are some of its flaws (Benzaghta et al 2021). Some of its opportunities include the potential for expansion into emerging markets and the region’s rising demand for digital services. Threats to the industry include rising market rivalry, the possibility of legislative changes, and the possibility of cyberattacks.
PESTLE Analysis
Etisalat operates in a favorable political environment, with the government actively encouraging its growth and development. The UAE’s economic expansion has provided a favorable economic climate for business. There is also a growing social demand for digital services, creating a positive context for Etisalat. The corporation is investing in new technology to enhance its services, showing its commitment to the technical environment. Additionally, it has invested in renewable energy sources, which helps to protect the environment. The government has established a helpful regulatory framework for the telecommunications industry, creating a favorable legal climate. These factors combine to create a positive context for Etisalat to continue its growth and success.
Pros of the Strategy
The plan might elevate the business to the top of the local digital services market. It will probably bring in more clients and increase the company’s market share. Additionally, the business is projected to profit from the region’s growing demand for digital services and potential growth prospects in emerging markets. Also, it will increase the company’s operational effectiveness. A better client experience, cost savings, and more income are anticipated outcomes of the strategy. In the end, the business will have a competitive advantage over its rivals in the market for digital services.
Cons of the Strategy
Various possible outcomes could result from a company’s strategy when it enters a new market. The likelihood of more businesses entering the market to capture market share increases competition. Consumers may benefit from price reductions brought on by the increased competition, but the company may incur higher costs. Governments may impose new restrictions on the business, the sector, or both (Assaf & Scuderi, 2020). Another possible danger is the business being vulnerable to cyberattacks, which could result in money losses or harm the company’s reputation. These outcomes can significantly impact a company’s operations and profitability, and companies need to be aware of the risks associated with entering a new market.
Risks of the Strategy
The implementation of any strategic plan carries a certain amount of risk. When it comes to the proposed strategy, there are several risks that the company must be aware of. Increased competition is a major risk, as the company may compete with other companies offering similar services. Regulatory changes may also be a concern, as changes in laws and regulations could impact the company’s operations. Additionally, the company should be aware of the potential for cyber-attacks, which could lead to financial losses and compromised customer data. Finally, changes in customer preferences could lead to decreased demand for the company’s services, resulting in decreased profits. Therefore, it is essential that the company carefully assess all potential risks before implementing the strategy. By doing so, the company can ensure that it takes the necessary steps to minimize risk while maximizing its potential for success.
Additionally, changes in regulations or cyber-attacks could harm the company. Therefore, Etisalat needs to remain aware of the risks and take steps to mitigate them. To ensure the strategy’s success, the company should provide quality customer service and develop customer loyalty. It should also invest in research and development to ensure its products and services are up-to-date and competitive. Furthermore, they should remain aware of the changes in the digital services market and adjust their strategy accordingly.
Conclusion
Etisalat’s digital strategy has the potential to position the company as a leading digital services provider in the Middle East region. The strategy includes expanding their customer base and market share and improving operational efficiency. These efforts could result in significant growth for the company. However, the strategy carries various risks that must be managed to ensure its success of the strategy. For example, the increased competition in the digital services market could lead to lower prices and reduced profits.
Overall, Etisalat’s digital strategy could be beneficial for the company if it is implemented properly. With the correct steps taken, the company could gain a competitive advantage in the market, increase its customer base and market share, and improve its operational efficiency. However, the company needs to remain aware of the risks associated with the strategy and take steps to mitigate them.
References
Assaf, A., & Scuderi, R. (2020). COVID-19 and the recovery of the tourism industry. Tourism Economics, 26(5), 731-733. Web.
Benzaghta, M. A., Elwalda, A., Mousa, M. M., Erkan, I., & Rahman, M. (2021). SWOT analysis applications: An integrative literature review. Journal of Global Business Insights, 6(1), 55-73. Web.