Market Pressure
Market Pressure * In this era, businesses faces lots of pressure to grow and compete and one of them are market pressure. ‘Market pressures come from global economy and strong competition, the changing nature of the workforce and powerful customer’ (Turban, E. et al 2007, pg 33).
I. Global economy and strong competition (a) Global economy ‘refers to an integrated world economy with unrestricted and free movement of goods, services, and labour transnationally’ (Economywatch, 2011).
As we can see and experience now, the world are coming together as one and company, like Maxis have to see how the world’s economy is doing to make decision regarding its company’s path and strategies. This is important as the company is facing strong competition from other company from the same industry locally. At the same, this also ensures that the company did not lack behind its competitor so that they did not lose out their customer, which can result in lower profit, market share and market power.
One of the factors that a company has to pay attention to is new found technology. Let us take an example, Third generation (3G) network was first offered in Japan as a pre-released by NTT Docomo in May 2001 then followed by SK Telecom from South Korea in January 2002 (Dciexpo, 2007). A few years later, Maxis follow this trend and became the first 3G phone network provider in Malaysia in July 2005 (Press Release Maxis, 2005). As we can see here, the global economy trend forces Maxis to improve and provide a better service to its users since 3G network is so well received not only in Japan but in the USA and Europe as well. 3G enable its users to video call, internet on the move, checking emails and so on. This decision was a good one from Maxis because about a year later, Celcom, another Malaysian mobile service provider also launches its 3G network service in mid of July 2006(Telegeography, 2006). This shows that there are strong competition between
I. Global economy and strong competition (a) Global economy ‘refers to an integrated world economy with unrestricted and free movement of goods, services, and labour transnationally’ (Economywatch, 2011).
As we can see and experience now, the world are coming together as one and company, like Maxis have to see how the world’s economy is doing to make decision regarding its company’s path and strategies. This is important as the company is facing strong competition from other company from the same industry locally. At the same, this also ensures that the company did not lack behind its competitor so that they did not lose out their customer, which can result in lower profit, market share and market power.
One of the factors that a company has to pay attention to is new found technology. Let us take an example, Third generation (3G) network was first offered in Japan as a pre-released by NTT Docomo in May 2001 then followed by SK Telecom from South Korea in January 2002 (Dciexpo, 2007). A few years later, Maxis follow this trend and became the first 3G phone network provider in Malaysia in July 2005 (Press Release Maxis, 2005). As we can see here, the global economy trend forces Maxis to improve and provide a better service to its users since 3G network is so well received not only in Japan but in the USA and Europe as well. 3G enable its users to video call, internet on the move, checking emails and so on. This decision was a good one from Maxis because about a year later, Celcom, another Malaysian mobile service provider also launches its 3G network service in mid of July 2006(Telegeography, 2006). This shows that there are strong competition between