Telecom Egypt SWOT Analysis, USP & Competitors

Posted in Telecom Service Providers, Total Reads: 2075
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SWOT Analysis of Telecom Egypt with USP, Competition, STP (Segmentation, Targeting, Positioning) - Marketing Analysis

Telecom Egypt

Parent Company

Ministry of Communications and Information Technology (MCIT)

Category

Mobile Service Provider

Sector

Telecommunication

Tagline/ Slogan

One Network…Uniting us

USP

Telecom Egypt is the country’s sole fixed line operator

STP

Segment

Telecom Egypt provides fixed line telephony, mobile services, infrastructure and transport services, voice and data services, and hosting.

Target Group

Retail and wholesale

Positioning

It serves a total subscriber base of 8.6 million translating into a fixed and household penetration rate of 9.4% and 55.2% assuming 90% of the lines are residential. The company has a fixed line subscriber base in excess of 12 million subscribers, which makes it the largest fixed line provider in the Middle East and Africa.

SWOT Analysis

Strengths

1. Diversified revenue base that aids in offsetting unforeseen weaknesses.
2. Contained cash flow volatility helping it to fare better.
3. High cash reserves serving as a buffer.

Weaknesses

1. Rising costs led by the socio-economic dissatisfaction
2. Unpredicted outcome of the salary restructuring scheme
3. Falling trend of EBITDA margins
4. MVNO license to further impact EBITDA margins

Opportunities

1. Ability of upgrading dividend payout
2. Geared up to become a full-fledged entity offering bundled services

Threats

1. Licensing international gateways to mobile operators
2. Heightened political/security risks in Egypt
3. Devaluation of currency due to deterioration in foreign reserves and balance of payments

Competition

Competitors

1. Orascom Telecom
2. Etisalat
3. Orange S A



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