A Study Of The Development & Competition Strategies Of The PHS Market Of The Changsha Telecom Co.

After several restructuring of the telecommunications industry of Changsha, great changes have taken place in the telecommunications market pattern of the city as well as the competitive status of Changsha Telecommunications Company. The market share of Changsha Telecommunications Company has been consecutively reduced and its operating income has become increasingly minus value. The company badly needs expansion of its business fields and all-round creation to extricate itself from the present difficult position. Rapid development of the wireless telecommunications technology and upspring of new businesses offer a golden opportunity. This thesis focuses on whether to expand PHS business is feasible and if possible, how to get into the market.This thesis, elaborating the development of PHS, one of the major business of present wireless communications, analyzing the factors affecting macro-circumstances of telecommunications industry by applying PEST methods, expounding the competitive situation of the mobile telecommunications market of Changsha by applying the theory of Michaele. Porter competitive strategy, combining the resources of the company with its competency and comparing Changsha with other cities in PHS development, believes that the expansion of PHS business is the company's practicable strategic option under the present market situation, while taking right sales tactics is the key point to the success of such expansion.With regards to sales tactics supposed to take by the company, the thesis analyses the market orientation, production development and combination, pricing tactics and channel tactics of PHS business. The thesis believes that the company sould take "high quality with low price" tactics in PHS business development, targeting on the consumers with inter-city mobile demand, struggling for the market share by low-price sales at the first stage of the market entry and taking measures to develop products by reducing construction cost, providing added-value service and improving network service.