MANAMA: “The Saudi Telecom Company (STC) became Bahrain’s third mobile operator with the launch of a new company called Viva Bahrain”(“STC Launches new company in Bahrain”). Launch of a Saudi company in Bahrain depicts firm relationships between two nations. Viva Bahrain will be competing with established players Batelco and Zain.” STC is presently operating in Malaysia, Indonesia, India, Kuwait, Turkey, South Africa, Lebanon and Jordan” (“STC Launches new company in Bahrain”). The establishment will help in reinforcing global communications in Bahrain. Viva Bahrain will focus on reducing call rates and, facilitating easier technology for Bahrain.
Telecommunications market in Bahrain is highly competitive owing to liberalization of this sector. Already established, state owned Batelco covers a major portion of the market. Zain, a Kuwait company, is another threat sharing mobile market in Bahrain. The main focus of all telecommunication companies now lies on Expatriates. All three companies have international presence and big infrastructure. Another aspect of this initiative could be STC’s response to Zain’s increasing customer base in both countries. Owing to competition from major players, Batelco has also moved to developing markets. There is less space for telecommunication companies in Bahrain market but, population alteration provides hope for new ventures. Bahrain” is also one of the better-documented markets in the region” (“Bahrain Telecoms Mobile and Broadband”) therefore scope for major customer share is limited. However, STC can work on its value added services to extract more profit and get a customer base in Bahrain. In any case there is less room and, attractive services become imperative for company’s survival. The country has “well-established regulatory authority” (“Bahrain Telecoms Mobile and Broadband”) and mobile market exploitation is more that 150%.
Works cited
“Bahrain Telecoms Mobile and Broadband”. middleeasttmcnet.com. TMCnet.com, n.p.4, 2010. Web.
“STC Launches new company In Bahrain.” Arabnews.com. Arab News, n.p. 4. 2010. Web.