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| Prague - 2004 Day 5 - May 14 |
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Czech Telecom, the largest provider of telecommunications services in Prague , offers connectivity assurance and state-of-the-art technology. Previously a monopoly provider with a high level of internal inefficiency and antiquated equipment, it faces significant challenges as they make way to a fully liberated market. Most Czechs are mobile users as the mobile industry has a 95% phone penetration compared to 37% penetration with landlines. This company found competitive advantage with pre-paid services made available to lower segments of the market. DSL (dedicated lines) is the only growth opportunity for landlines. To date, only 17,000 customers have installed lines; however, the goal is 300,000 customers. In 2003, a major company transformation began to transition the company to 100% Eurotel ownership. A few of the major lessons learned include: Wall between retail and wholesale channels Relationship between management and regulations Limitations to change flat rates to cellular service due to the unknown number of calls and charges Czech Telecom provides telecommunications services in practically every city in the Czech Republic . As the market leader they strive to broaden a modern telecommunication infrastructure and its technology, both of which effectively ensure national competitiveness that meet international standards. The full long-term business goals and constantly increasing value of the firm are such that even in the future, it will be a stable and prosperous company. |
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Caption by Angie |
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