A Study On Marketing Strategy Of FTS China In Telecom Industry

With the rapid development and application of 3G, NGN and broadband business, Telecom, Cable and Internet are converging to have enabled the generation of flourishing new applications as video, streaming media, and instant messaging alike. The business model is becoming complicated day by day for which China telecom industry starts to reconsider the planning and construction of BOSS for new business applications. It is recognized widely by CRM and BSS vendors that China Telecom industry is one of the most important markets in the world. FTS, among the world's leading BSS software vendors, hopes to gain a foothold as well. As the result, FTS headquarter decided to build a Joint Venture-FTS China.By describing and analyzing macro market situation and trend of the development of Business Support System (BSS) of Chinese telecom industry and global telecom market, the paper analyzed the history, scale and development trend of the construction investment of BSS of some major Chinese telecom operators, and an in-depth study was given to the features of BSS marketing, and competitiveness of BSS vendors.Based on the research, by considering the special situation and resources owned by FTS China and FTS itself, and after the intensive study of the internal and external environment faced by FTS China, a preliminary study was done on FTS China's marketing strategy; Further following the SWOT analysis of FTS China and the comparison between direct sales and partnership alliance, the writer made a proposal of marketing liaison strategy. Centering on the subject of marketing liaison strategy, the paper is divided into two sub-branches, the partnership strategy on product and the partnership strategy on market development based on which a number of feasible proposals were made on how FTS China should tap the Chinese BSS market. The major viewpoints of the paper are:Convergence and transforming are the future trend of global telecom development. The severe competition and telecom business diversification is pushing the transition of BSS system from product to customer oriented. For year 2007, online charging, upgrading for convergent billing, integrated business management, business intelligence analysis shall be the main tasks of operators' plan and system construction.Given the factors of influence as issue of 3G licenses, NGN construction, and increasing value-added telecom businesses, it is estimated there shall be a steady increase in the size of CRM and BSS market. However, along with the optimistic market development, concentration of market share and emerging restructuring of Telecom BSS vendors are also taking place.Till now from 2005, the acquisition of Longshine by Amdocs has been signaling that international vendors are penetrating the Chinese BSS market through means of capital operation. A trend of merger and acquisition is being formed in domestic BSS market.In a situation where competition is getting worse, more international vendors are coming for Chinese BOSS, as the new entrant, FTS should evaluate objectively, make full use of its advantage. It is proposed that FTS shall, by leveraging on the advanced technology, take partnership alliance strategy with Chinese BSS vendors in order to achieve development and breakthroughs.