{"id":4415,"date":"2014-05-08T19:35:13","date_gmt":"2014-05-08T19:35:13","guid":{"rendered":"http:\/\/www.marketingteacher.com\/china-mobile-swot\/"},"modified":"2015-07-02T20:40:43","modified_gmt":"2015-07-02T20:40:43","slug":"china-mobile-swot","status":"publish","type":"post","link":"https:\/\/marketingteacher.com\/staging\/5483\/china-mobile-swot\/","title":{"rendered":"China Mobile SWOT"},"content":{"rendered":"<h1>SWOT Analysis China Mobile<\/h1>\n<h2>Corporate Overview<\/h2>\n<p><strong>China Mobile Limited<\/strong> was started in 1997. Originally   it was called China Telecom (Hong Kong) and then China Mobile (Hong   Kong) and finally <em>China Mobile Limited<\/em> as we know it today. Its   public offering in 1997 generated capital of USD $2.5 million, and a   further massive investment of global capital (around USD $600 million)   was made in 2004. Would you like a lesson on <a href=\"https:\/\/marketingteacher.com\/staging\/5483swot-analysis-marketing-tools-from-marketing-teacher\/\">SWOT<\/a> analysis? <\/p>\n<h2>Weaknesses<\/h2>\n<ul>\n<li>According to the head of China Mobile, China&#8217;s home-grown mobile   technology is a few years behind that of its international competitors   since it was having problems with handsets. Essentially 3G technology   was lagging behind. Part of the problem was the choice to swap to   TD-SCDMA&#8217;s network which many would consider inferior to the 3G   technology offered by European and American alternatives (which their   competitors have decided to adopt). <\/li>\n<li>The company is not globally diversified. Telecoms companies tend to   trade in more than one country, usually through acquisition,   joint-ventures or strategic alliances (for example see the <a href=\"https:\/\/marketingteacher.com\/staging\/5483bharti-airtel-swot\/\">SWOT   analysis of Bharti Airtel<\/a>). This may leave the company exposed if   the Chinese market were to go into a deep or sustained decline.<\/li>\n<\/ul>\n<h2>Opportunities<\/h2>\n<ul>\n<li>The Chinese economy has undergone enormous growth, which has lead to   the huge demand for mobile telephones, devices and technologies.   According to the Chinese Government, China is the world&#8217;s largest mobile   market with 520 million mobile phone users.  This number could reach   600 million by 2010.<\/li>\n<li>Budget users in China are driving growth in the mobile telecoms   sector. China Mobile reported a net profit between January and March   2008 of around 24.1bn yuan (\u00a33.4bn; \u00a32.2bn) which is a rise of 37% on   2007 according to BBC News.<\/li>\n<li>Since the cities have become saturated, much of the new growth is   predicted for rural China and it is this segment that is most likely to   be targeted by the large operators.   3G technologies provide the largest opportunity for China Telecom. <\/li>\n<\/ul>\n<h2>Threats<\/h2>\n<ul>\n<li>New subscribers are mainly low-use, low-value. So average revenue is   falling as the mobile phone market matures and the market becomes more   price competitive. So mobile phone suppliers are awaiting the   introduction of 3G mobile technologies to rejuvenate the market and   stimulate demand as Chinese customers consume the new added value   services.<\/li>\n<li>China Mobile could face more competition in the future as the   Chinese Government plans to allow more operators into the market. China   Mobile has 70% of the 2G market in China. China Unicom wants to become   the biggest 3G operator, and China Telecom aims to win 15% of the 3G   market by 2010. <\/li>\n<li>China Mobile has a number of service obligations under agreements   with the Chinese (PRC) Government. So the business may be obliged to   provide unprofitable services that pay a social dividend. Added to this   the Ministry of Information and Industry has allocated a limited   frequency (44MHz) to the company which will not support large numbers of   subscribers in the future.<\/li>\n<\/ul>\n<p class=\"note\"><strong>Disclaimer: <\/strong><br \/>This case study has been compiled from   information freely available   from public sources. It is merely intended to be used for educational   purposes only.<\/p>\n<p>Today it trades in 31 provinces of China and   essentially offers a Global System for Mobile Communications (GSM) which   covers almost the entire nation. The business makes money from its   voice-based services and other value-added services such as SMS text,   mobile e-mail and similar services. This <a href=\"https:\/\/marketingteacher.com\/staging\/5483swot-analysis-marketing-tools-from-marketing-teacher\/\">SWOT analysis<\/a> is about China Mobile.<\/p>\n<h2>Strengths<\/h2>\n<ul>\n<li>China Mobile was listed fifth in Millward Brown&#8217;s Brandz Top 100   Brands in 2007. This would have be unheard of 10 years ago (or even   less). The news means that the company is becoming more than a business   since it is now also a brand i.e. possessing brand equity and brand   value. Other Chinese brands to break the top 100 were the Bank of China,   the Chinese Construction Bank and IBBC. It is argued by many that   Chinese companies are not strong in relation to marketing but perhaps   things are changing.<\/li>\n<li>The company has made good profits over recent years. <\/li>\n<li>China Mobile has gone down the acquisition trail on a number of   occasions. In its early days it took over Jiangsu Mobile (1997). Other   important acquisitions include Fujian Mobile, Henan Mobile, and Hainan   Mobile (1999); &#8211; and Beijing Mobile, Shanghai Mobile, Tianjin Mobile and   Hebei Mobile (2000). These developments have delivered strong growth. <\/li>\n<li>China Mobile is number one in the Chinese market. It recorded a   67.5% market share in 2006. It is the world&#8217;s largest digital mobile   company, and serves more customers than any other mobile supplier. <\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>China Mobile SWOT is one of 50+ FREE examples of SWOT analysis on Marketing Teacher.<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","footnotes":""},"categories":[13],"tags":[],"class_list":["post-4415","post","type-post","status-publish","format-standard","hentry","category-swot-analysis-examples"],"_links":{"self":[{"href":"https:\/\/marketingteacher.com\/staging\/5483\/wp-json\/wp\/v2\/posts\/4415","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/marketingteacher.com\/staging\/5483\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/marketingteacher.com\/staging\/5483\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/marketingteacher.com\/staging\/5483\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/marketingteacher.com\/staging\/5483\/wp-json\/wp\/v2\/comments?post=4415"}],"version-history":[{"count":0,"href":"https:\/\/marketingteacher.com\/staging\/5483\/wp-json\/wp\/v2\/posts\/4415\/revisions"}],"wp:attachment":[{"href":"https:\/\/marketingteacher.com\/staging\/5483\/wp-json\/wp\/v2\/media?parent=4415"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/marketingteacher.com\/staging\/5483\/wp-json\/wp\/v2\/categories?post=4415"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/marketingteacher.com\/staging\/5483\/wp-json\/wp\/v2\/tags?post=4415"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}