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Porters Analysis
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SEPTEMBER 2011
VOL 3, NO 5

INTERDISCIPLINARY JOURNAL OF CONTEMPORARY RESEARCH IN BUSINESS

Porter Five Forces Analysis of Pakistan Mobiles Communication Limited (Mobilink): A Critical Approach
Akhtar Munir Retail Sales Officer in Mobilink. Afnan Khan Saddozai Management Trainee Officer in National Bank of Pakistan Dr.Bakhtiar khattak Chairman: Department of Business Administration, Gomal University, D,I.Khan Dr.Shumaila Hashim Lecturer: Dept of Bus.Administration, Gomal University, D.I.Khan. This paper has written as a part of academic research, on the basis of data availability. The analysis is based on researchers’ own understanding; company’s management may disagree with it. Abstract This paper attempts to analyze the intensity of competition within industry for Mobilink on the basis of Porter five forces model. Study indicates that although it is a market leader in cellular sector in Pakistan yet it has strong rivals. Further more subscribers’ switching cost is low. So the company is required to must consider these two factors in policy formulation. On the other hand position of forces like suppliers and substitutes availability and potential entry of new entrants is weak. Key Words: Mobilink, Pakistan, Porter Analysis, Subscribers, Suppliers, Rivals JEL Classification: F23, L25, L63, L96, N7 Introduction Environmental scanning is the most important step in strategic management process, which is conducted to find out all those trends and events that can influence an organizational efficiency in both positive and negative way. Internal environmental analysis helps in finding strengthen and weaken areas of the firm. While in external environmental scanning we analyze external forces like economic, political, cultural, technological and competition. This analysis helps to understand that what are the threats for an organization’s successful survival and what are the available opportunities. Thus with the help of strength we can face


References: About Orascom telecom (2006). Available at http://www.orascomtelecom.com. Area Coverage- Mobilink. Available at http://www.mobilinkgsm.com/coverage/index.php, Jan, 07, 2010 Cafferky.E.M. (2005), The Porter Five Forces Industry Analysis Framework for Religious Non-profits: A Conceptual Analysis. 25th Annual CBFA Conference, Point Loma Nazarene University Goold,M.(1997),Institutional Advantage: A Way into Strategic Management in not –forProfit Organization. Long Range Planning, 30(2). pp:291-293. Johnson.G and Scholes.K. (2002), Exploring Corporate Strategy, 6th edition, Harlow, Financial Times, Prentice Hall. Motorola Mobilinks Accord (The NEWS, Dec6, 2007). Orascom telecom. Annual Report, 2007,p:28. Orascom telecom. Annual Report, 2008,p#16. Pakistan Telecommunication Authority, Annual Report, 2008. pp:59-60. Pearce.J and Robinson. R. (2005) , Strategic Management , 9th edition, McGraw Hill , New York, NY, Porter .M.E (1980). Competitive Strategy: Techniques for Analyzing Industries and Competitors, New York: Free press.p.3. Telecom Indicators. Available at http://www.pta.gov.pk Tomi.D, Mallat,N, Ondrus.J, Zmijewska.A. (2007), Past , Present and Future of Mobile Payment Research: A literature Review. Electronic Commerce Research and Applications. Available at http://www. Sciencedirect.com. Wheelen.L.Thomas & HungerD.J.(2002), Strategic Management and Business Policy:Concepts,8th Edition,Published by Pearson Education, India. COPY RIGHT © 2011 Institute of Interdisciplinary Business Research 712
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