8/3/2019 Problem03 Yunyan Chang-Hong Fei
1/14
A Success in Chinese ICT Industry
China Mobile Limited
Yunyan Chang
Hong Fei
8/3/2019 Problem03 Yunyan Chang-Hong Fei
2/14
Overview
Brief introduction of CML Development Strategies Current SWOT analysis Prospective development
8/3/2019 Problem03 Yunyan Chang-Hong Fei
3/14
What is China Mobile?
China Mobile Limited, which is the leading mobile services
provider in China, boasts the world's largest mobile network and
the world's largest mobile customer base. Over ten years of efforts,
China Mobile has established a comprehensive network with large
coverage, high quality, rich variety of businesses and first-class
customer services.
China Mobile operates not only basic mobile voice services but
also value-added services such as data, IP telephone and
multimedia. It has the right to operate Internet services and the
international gateways, reputed for its brands like Go-Tone, Easy-own and M-Zone.
8/3/2019 Problem03 Yunyan Chang-Hong Fei
4/14
Popular Products
8/3/2019 Problem03 Yunyan Chang-Hong Fei
5/14
As of 31 December 2010, the Group had a total staff of 164,336 and
a customer base of 584 million, and enjoyed a market share of
approximately 69.3% in Mainland China. The Group's GSM global
roaming services covered 237 countries and regions and its GPRS
roaming services covered 186 countries and regions.
8/3/2019 Problem03 Yunyan Chang-Hong Fei
6/14
Why successful?
The Eternal Goal of China Mobile:Striving to become creator of superior
The Corporate Mission of China Mobile:Communicate a boundless world and construct an information society
The Core Value of China Mobile:Responsibility makes perfection
8/3/2019 Problem03 Yunyan Chang-Hong Fei
7/14
Blue Ocean Strategy
Blue ocean, denotes all the industries not in existence today,
which describes the wider, deeper potential of the unknown
market space, untainted by competition.
Blue Ocean Strategyholds the idea that growth and profits an
organization can generate by creating new demand in anuncontested market space, are much higher than by competing
head-to-head with other suppliers for known customers in an
existing industry.
8/3/2019 Problem03 Yunyan Chang-Hong Fei
8/14
Blue Ocean Strategy
Strengthen new customer acquisitionsTarget: young users and migrant-markets
Tap the potential of voice services Promote value-added business
i.e. SMS, Wireless Music, MMS
Focus on improving customer experience and creating value forcustomers
Enrich and enhance products for family and corporate customers Explore new operating models
8/3/2019 Problem03 Yunyan Chang-Hong Fei
9/14
Low-cost and Efficient Strategy
Centralizationcentralized financial management, centralized network operations andmaintenance, centralized procurement
Standardizationapplied in various aspects including equipment configuration, construction
regulation, business processes and corporate management, to enhanceefficiency and quality, and ultimately reduce cost.
Informatizationthe efficiency of operational management is greatly enhanced throughmanagement information system
8/3/2019 Problem03 Yunyan Chang-Hong Fei
10/14
Client-centralized Strategy
CML adheres to its mantra of "Customers are our priority, quality
service is our principle" and endeavors to build its new competitive
advantage in services. It has preliminarily set up a network quality
evaluation system based on customer perception, which intend to
improve network quality from the perspective of customerexperience and assured customer satisfaction. The Group's
customer satisfaction rate and complaint rate per million
customers for 2010 were the best among its industry peers in
Mainland China.
8/3/2019 Problem03 Yunyan Chang-Hong Fei
11/14
Social-Friendly Strategy
China Mobile has established a sound relationship with the
government and local society by playing an active role in
various social activities as a supportive method for promoting
its products. Besides, the Group also did a great job in
disaster relief and emergency communications operations. Italso established the Environment Protection Education
Foundation for the sake of public welfare project. Owing to
such efforts, China Mobile was honored The Best Corporate
Citizen by multiple bodies.
8/3/2019 Problem03 Yunyan Chang-Hong Fei
12/14
What is CML currently facing with?
S W
T O
Abundant business resources
Stable client sources
Huge business scale
Good brand image
Immature management system
Inefficient operational procedures
Decrease in fixed-net users
Emerging competitorsflooding into Chinese ICT
market
Intensifying competitions fromlarge international companies
Fast-changing marketsituation
Supportive policies
Various demands from customers Fast development of Chinese ICT
industry
8/3/2019 Problem03 Yunyan Chang-Hong Fei
13/14
Prospective Future
Support System Accurate market
analysis
Increase managementefficiency
Explore new operatingmodels
Technically
Optimize networkquality and operating
support capability
Step up in technologicalinnovation
Establish low-costInternet Data Center
(IDC)
Client Services
Better target the needsof customers
Improve customerexperience
Pursue refined sales andprecise services
8/3/2019 Problem03 Yunyan Chang-Hong Fei
14/14