Strategic Research On HeBei Netcom PHS

With the downtrend of regular pronunciation market in the world,telecommunication operators are making great efforts in looking for the newpoints of growth. For China Telecom and China Netcom, the PHS marketisundoubtedly a perfect point of growth. It has been seven years since the firstattempt of PHS's network in Yuhang of Zhejiang was made. By the end of 2004,the PHS has already exceeded network C and expanded to be the second largestmobile telecommunication network of the nation. It is said that PHS in Chinahas created a miracle in the communication industry. However, behide theprosperity of development, the PHS is suffering from pressure from manyaspects: slow increase in numbers of users, decrease of ARPU value and poornetwork quality etc.This paper first made systematic analysis of the business nature, thebackground, the policies and causes of the PHS processes etc. Based on theenterprise condition and product features, the paper made analysis of theadvantages and disadvantages of both the competitors and the comparativeproducts. With sound market research, the paper analyzed the target customergroups and the meaning of the PHS development as well as the problems thatexist in the development process.With the above analysis, the paper proposes a competitive strategy of PHSdevelopment in the mobile enterprise based on customers of middle-to-highlevel as well as in the lower level. The content mainly includes the customersubdivision tactics, the group marketing strategy, the development strategy ofbrand, the construction of channel establishment, the competitive pricestrategy and emotion marketing techniques etc. According to differentcustomers of primary students, undergraduates and peasants etc., product plansof " treasure coherent ", " student coherent " and " peasant household putthrough "are developed, which aim to improve the quality of network with thetelecommunication facilities of high quality based on the inherent advantagesof PHS. With the competitive business features, Hebei net is to gain a largeproportion of market shares in the fierce competition in enhancing thecompetitiveness.