Company X: Functions and Mission
Company X is a telecom operator based in the United Arab Emirates. The management rebranded it in 2006 after operating under a different name for several years. The core business of the company is mobile and fixed telephony. In recent years, the company has ventured into providing IPTV services and broadband connectivity. Its customers range from individuals, schools and businesses, TV broadcasters as well as homes. As of 2011, 4.5 million people were subscribing to mobile services from the company. In 2007, the company challenged the monopoly of an established telecom company by introducing competitive call tariffs. Because of sound management practice and technology-driven customer services, the company has won recognition and certification from many accrediting institutions. Sound corporate social responsibility practices have endeared the company to the local populace and promoted its corporate image.
The company boasts of an increasing number of customers that skyrocketed to 5 million in 2011. In the same year, more than 45,000 businesses and homes contracted the company for broadband connectivity and IPTV services. The launch of satellite up/downlink was received well by customers especially those with interest in TV broadcasting. The company is committed to inclusivity and cultural diversity. For this reason, the management hires from the cosmopolitan population. The over 2,000 of its employees speak a variety of languages to reflect the diverse clients the company serves. The management also reflects the cultural diversity of UAE and customers as only 50% of the top brass are natives of the United Arab Emirates. The company organizes career fairs in collaboration with local colleges to attract young talented graduates. Through a rigorous graduate management trainee program, the company produces top-notch employees to consolidate its place in the regional market. Commitment to gender equity is manifest in their hiring process. In 2012 for instance, 91% of employees hired in the call center were female.
The company’s core values have endeared it to local and international customers. The values, “confidence, friendliness, honesty, and surprise” exemplify the commitment to customers’ satisfaction. They underpin the company’s modus operandi, a factor that has translated to tremendous growth in a competitive market. This explains why the company has won awards for good corporate governance. The vision, “to enhance your life, anytime, anywhere” is the compass that has guided the company through the years. It epitomizes a unique undertaking to make the lives of all people better. The company is a commitment to its customers, employees, and shareholders. The mission, “We want to delight our customers, be the employer of choice for the best talent, create optimal value for our shareholders through business excellence and innovation, and proudly contribute to the transformation of our community” underscores the company’s dedication service and excellence. The company’s value for its customers is evident from the commitment to enhance their life. There are programs to motivate employees so that they give their best to the company.
The company’s products and services are tailor-made to suit different users. Individuals can buy a range of items from its 56 shops and 3100 dealers authorized by the company. Additionally, shoppers can access services and goods via online shops from anywhere in the world. Products for individuals range from smartphones, mobile TV, and prepaid and postpaid services. Families at home can get landline installation. Business and corporate clients can enjoy diverse services ranging from professional, leadership, and managed services. Similarly, customers can get voice solutions for their call centers and iPhone 5 designed for businesses and corporate customers. Managed services include global and national internet connection, hosted web and mail, business cloud, and a broad base of IT solution services. In line with its values, the company unleashes surprises to its customers. Mobile subscribers can save and redeem points accumulated from calling, texting, and voice services. The company uses these points to reward active and loyal operators.
Customer-Minded Organizations
Business and marketing pundits aver that the key to unlocking profits for any organization is to develop and implement a customer-focused marketing approach (Baines, Fill, & Page 2010). By studying competitors, a company can get reliable benchmarks and hence develop an edge over rivals. According to Ferrell and Hartline (2011, p.45), the presence of a customer-focused marketing tool will make employees develop a deep understanding of the customers, their behavior, needs, and expectations. Similarly, the employees will be in a position to benefit from emergent marketing concepts that will outdo competitors. It is important to win customers; it is more important to them. Customer-focused marketing will win customers for long-term profitability.
At the organization level, customer-focused marketing will help identify loyal customers and formulate strategies and programs to be even closer. Additionally, the organization will be in a position to come up with products and services that meet the evolving and emerging needs of customers (Ferrell & Hartline 2011). Such insights will facilitate functional adjustments in the area of public relations, finance, among other areas so that the organization does not lag behind its competitors. Customer-minded companies share some common features. In the subsequent subheadings, this paper will extrapolate the features of customer-minded companies and compare them against the practices and functions of company X.
Research and Development
Companies focused on customers dedicate time and resources to meet customers and listen to their problems (Forsyth 2009). This way, they obtain a first-hand account of what customers expect. Similarly, the companies reach out to other departments for input especially when launching a new project. The companies outclass their competitors by coming up with the best solutions to customers’ needs. As they roll out new programs, they engage customers all the way, each time seeking feedback on customers’ feelings. From this feedbacks, they constantly improve areas that are not meeting desired expectations. In essence, such companies walk along with their customers. They consult endlessly and incorporate the feedback from customers in their projects. The customers thus feel valued and an integral part of the company. They become loyal and advertise the company to their friends, family, and colleges (Baines, Fill, & Page 2010).
As far as research and development is concerned, Company X has met the threshold of a customer-minded company. It operates a call center that provides quick and easy access to information by the customers. The staff is friendly and drawn from different nationalities to address the cosmopolitan nature of the United Arab Emirates. After rigorous training, the staff is well equipped to offer superior personalized customer care. The company launched an Integrated Customer Relationship Management Strategy in 2008 to keep abreast and in touch will all customers. CRM receives support from well-coordinated intelligent systems that monitor competitors and customers intending to achieve best practices for the company. The company solicits customers’ feedback through several avenues. Customers can use social media, email, and forms to give out their feelings towards the company’s projects. The company organizes career fairs for students to interact with them and understand their needs and aspirations.
Sales, Marketing, and Public Relations
Customer-minded companies protect their image and engage in activities that promote their corporate integrity (Ryals and Wilson 2005). They offer winning offers to customers and urge teamwork in achieving customer satisfaction. They not only soli for feedback but also develop a good knowledge base of customers, their behavior, and dynamism. They have effective machinery to control the damage that may come about because of the compromised quality of products and services. Through corporate social responsibility, the companies ensure that they have a good rapport with ith government and communities within which they operate. Within the organization, they set up mechanisms that serve as customers’ advocates. The internal customer advocacy ensures that the relevant departments do not ignore the needs of customers (Hedin, Hirvensalo, & Vaarnas 2011). It also ensures that the company remains faithful to the promises they make to customers. Such companies know their loyal clients and they keep them close enough through rewards and constant communication.
Concerning sales, marketing, and public relations, Company X has done tremendously well. Through their shops and authorized dealers, the company has set up a sophisticated sales system that ensures customers give their feedback by making a call before leaving the premises. Through dealers, the company has been able to reach many customers, negating the need for daily advertisements. Through visibility and brand value, the company has won many dealers who contribute to marketing, directly and indirectly. The company offers tailor-made solutions to customers’ needs and runs a customer reward program. The surprise is a core value for the company. With a mobile operator from the company, customers can play and win prizes by dialing selected numbers. For instance, dialing *123# after recharge enters one into a competition where surprise prizes such as smartphones are won. By dialing *123*3#, one is eligible for free messaging services.
Company X has endeared itself to the community through corporate social responsibilities. By using a hybrid solution, the company has reduced environmental pollution and deserved the Green Award, a coveted prize in Asia. Sponsorships of good governance workshops are close to the company in its endeavor to promote best practices for local and foreign companies. The company sponsors entertainment and sports competitions. This way, it nurtures talent while remaining conspicuously visible to many people. By sponsoring the World Music Festival, the company has been able to reach a very wide audience that negates the need to advertise through TV and radio. The public relations department is robust, diminishing any damage that may face the company. In 2013 for instance, there were accusations that its customer care services are slow. Complaints launched by customers went unattended or took long to get a response. The public relations department reacted swiftly to the accusations by offering apologies to complainants and giving full reimbursements.
Accounting, Finance, and Governance
Customer-minded companies support market expenditure. They make products and offer services that are affordable to people across social classes (Jenster & Soilen 2009). They uphold good corporate governance and appreciate the important roles played by employees to facilitate the achievement of goals and objectives. Company X understands and offers support to marketing and advertisement. By sponsoring entertainment, sports, and the World Music Festival, the company makes huge budgetary commitments. The company is among the best local employers in the UAE.
Strategic Business Unit and SWOT Analysis
Company X lacks clear-cut strategic business units. Instead, it has divisions, international and regional, that assists it to improve global presence. Additionally, the divisions help reroute international traffic at a cheaper cost. In recent years, the company has launched Points of Presence sited in London and Hong Kong. However, Pop is limited to ensuring that the qualities of services remain high. The company has launched an ambitious cable project that aims to enhance connectivity in the regions neighboring UAE. The acquisition of Samacom has launched the company as the regional leader of choice for broadcasters. However, the low-speed internet connectivity continues to hinder the growth of the company to rival well-established multinationals from Japan, South Korea, and China.
By using SWOT analysis, it is possible to identify the company’s strengths and weaknesses. It is then that the company can accurately exploit strengths to obtain an advantage and formulate measures to redress weakness. First, the company has a respected and easily recognizable brand. Secondly, the company’s visibility is unrivaled due to the numerous entertainment sponsorships it provides. Third, the financial capacity of the company has been growing with time and the company can harness this to improve internet speed and enhance global presence. Fourth, the company has a highly trained and innovative labor force. The formation of a committee to look into the affairs of workers back in 2007 has ensured that the company does not suffer high labor turnout. Fifth, corporate integrity lends legitimacy and enhances public trust in the institution. The awards won by the company gives it more credibility than it can transfer to the global arena. The performance of the company in the stock market gives a strong indication that the company is financially well grounded. The company’s strength also lies in diversified products and services. The launch of unique features ensures that the company remains ahead of other competitors. All these strengths give the company advantage over perennial rivals and new entrants.
The company has little internal weakness that can encumber growth. Threats from outside are however several. Tariff war with rivals reduces revenue and necessitates advertisement thus increasing the cost of doing business. It is largely state-owned and experiences little competition. Market pundits argue that competition stimulates growth by compelling visionary strategies, innovations of new products, and improvement of services. United Arab Emirates is divided in the middle between those who subscribe from company X and those who subscribe from the only other competitor.
The fact that each company has obtained its market share brings about complacency. This hinders ambition and is partly the reason Company X is reluctant to venture out despite the opportunities available. The biggest opportunity is the high demand for the internet all over the world. Businesses and schools in the United Arab Emirates have embraced technology and they, therefore, need the internet. Additionally, some parts of Asia and North Africa lack stiff competition because internet providers are few. These are Opportunities Company X can harness to drive its next phase of growth. The major threat to the company is competing for global space. Additionally, government restrictions have kept the speed of the internet low. This poses a threat to the state-owned company as privately owned foreign broadband providers could exploit loopholes in the law to gain a competitive edge.
Company X can beat other competitors by employing a holistic marketing approach. Customer-focused marketing calls for closer interaction with the customers. The company can invite customers to tour its premises when it is launching new products. Customers provide suggestions and feedback. The company is thus able to understand the aspirations of the customers. Since the company offers mobile pay bill services, it is prudent to get an opinion from customers on what else they feel they need to pay via mobile. By allowing customers a stake in developing new products, loyalty will be enhanced. Additionally, the company should organize training for all staff on how to deal with customers. By using an inter-departmental approach, the company will establish a customer-focused organizational culture.
Marketing Research and Decision Making
Company X engages in serious market research to keep abreast with competitors. Market research is especially important when launching new products and services. The company analyses the market first and then decides the products to launch. For instance, the company’s foray into telecommunication aimed to provide young people and women access to affordable telecom products. The same market research established the presence of an increasingly tech-savvy population that was unattended by the other provider. Through market research, company X established that the only other provider had only two services; customers had to be either on prepaid or postpaid services. To win customers, therefore, the company launched several services including prizes and offers to a generation that preferred texting to calling.
Through market research, company X established that the only other product provider lacked value-added services. This helped them to position their value-added services when it will benefit customers most. The company took advantage of the large population traveling back home in the evening stuck in traffic. Rather than sit idly in their car or public transport, company X discovered that it could offer data and messaging services with value addition. Gradually, the company was able to carve a niche for itself. To retain the new customers, market researchers advised permanent tariffs and expansion of services provided. They thus launched Wi-Fi so that their clients could enjoy data from any locality.
In 2008, market research manifested that the number of people making calls and using the internet was increasing exponentially. The most appropriate offer, therefore, was one that offered a uniform reduced charge for mobile internet users. The company decided to launch an offer called “One World One Rate”. This offer attracted people who traveled out of the country regularly. They could afford to travel, use the internet, call, and text home at a flat rate never enjoyed before. Many people chose company X to benefit from the convenience of not having to change telecom operator every time they traveled out of the country.
The market research conducted at the end of 2008 manifested that people were finding it highly inconveniencing to visit its stores when in need of specific services. They thus rolled out a project to authorize dealers to offer services on their behalf. A walk in any town In UAE reveals a strong presence of the company’s dealers. The company’s market researchers established that position is important in advertising. The company thus mounted billboards in airports terminus and other malls frequented by tourists.
The company has consistently provided affordable tariffs and data to customers. There is a huge budgetary allocation to market research to drive growth. Through market research, the company can judge customers changing attitudes towards its products and services. It also helps to forecast the future and adjust accordingly. Additionally, market research helps to test the effectiveness of advertisement strategies. The world is becoming a global village and companies are finding it easy to borrow best practices from other countries (Kumar 2004). Market research helps towards this end. The next phase of growth must be from a point of knowledge to reduce risks. The company can improve market research by hiring experts and increasing budgetary allocation.
Conclusion
Company X, discussed in this paper, has immense growth potential. The world is embracing technology at a rate unprecedented before. For the company to obtain maximum benefit there needs to be more focus on the provision of internet solutions. The company needs to keep abreast with the changing trends. For instance, many people are now using smartphones. Venture into the provision of Wi-Fi presents an opportunity that is not exploited fully. However, that does not mean the company should abandon call and text services. Rather, it is more prudent to diversify products and services so that if one is not performing well, the other product or service can cover for it.
References
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Forsyth, P 2009, Marketing: a guide to the fundamentals, Bloomberg Press, New York.
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Jenster, P & Soilen, K 2009, Market intelligence: building strategic insight, Copenhagen Business School Press, Frederiksberg, Denmark.
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