Case Study A Global Investment Marketing Essay

Case Study A Global Investment Marketing Essay A global investment is a difficult mission that requires the assessment of different aspects of potential opportunities in different countries. Moreover, needs serious examination and analysis of success and failure probability. The purpose of this paper is to study the strategy of Etisalat, the United Arab Emirates (UAE) telecommunication company in the Saudi Arabia market as Mobily. Moreover, description, cause and effect of that strategy will be discussed at understand Saudi’s economy and to identify the total investment in the mobile sector. In addition, an attempt to examine the performance of Mobliy and the obstacles it faced was made. A specially, the difficulty it faced when it started the business in the Saudi market while trying to catch a part of mobile phone market share, managing its business and communicating with its mother company in the UAE. To overcome these obstacles, Mobily created new services for personal and companies to add value for its subscribers to achieve its strategy target. To explain its success in Saudi’s market, some business information will be discussed evaluating its strategy. Table of Contents: 2- Etisalat’s globalstrategy 3-SAY GOODBYE TO THE MONOPOLY 4-Mobily Ownership Structure 5-Mobily Objectives 6-STRATEGY 7-HAJJ EFFECT ON PROFITABILITY 8-INFRASTRUCTURE 9-Effect of macro-environmental and micro-environmental on Mobily’s marketing mix 2- Etisalat’s globalstrategy Etisalat is the largest Arab telecommunications firm in the Middle East, with 63 million customers and has launched the most advanced services to the area.( http://www.etisalat.ae) Etisalat’s strategy is anchored in expanding in international markets and being able to be one of the top-10 telecom’s service suppliers in the world. To execute this strategy, Etisalat attempts actually to create the retail of mobile devices around some states in Africa, Asia and the Middle East as Saudi Arabia and Egypt because thes e countries have shown an increase in GDP, great increase in population and unemployment and Etisalat try to present telecom services and solutions which add value to consumers and facilitates perfect deal with technology. 3-SAY GOODBYE TO THE MONOPOLY In 2004, the only mobile operator was Saudi Telecom Company (STC). At the same time, the mobile penetration rate just was 40%,and there were only 9.2 million customers. When Mobily entered Saudi market in 2005, broke the monopoly. The liberalization of the Saudi Arabian telecommunication sector caused the penetration rate to rise to 109% in 2007, to  assure  of 50% for customers growth. Mobily paid 3.46 billion USD to have the second mobile license in KSA in 2005. Mobily was successful in covering most of Saudi Arabia’s land with the GSM coverage 97% of populated areas. It was also the first mobile Saudi operator to  initiate  value-added services such as location-based services (LBS) and MMS. 5-Mobily Objectives To be the best work environment in the KSA by caring for their employees. To be Number One at enjoyment their subscribers. To sustain leadership in data applications and services 6-STRATEGY Mobily is successful attainment its long term vision: to change from a pure mobile operator to a multi-functional telecom operator in KSA. Mobily was granted approval by CITC (Communication and Information Technology Commission) to attained 96% of Zajil International Telecom and 99.9% of Bayanat Al Oula which has a WIMAX license, two data service suppliers in KSA in 2008. Mobily is managing the cost of existing operations when its purchase of a 66.6% stake from the Saudi National Fiber Network (SNFN) which substitutes the use of STC’s international gateway network. The incomes of the SAR2 billion capital increases are used for funding or upgrading. (http://www.mobily.com.sa)