Case study of Orange Romania -aims and PEST analysis
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Business Administration Group 8881 Transilvania University 1.INTRODUCTION - 3 - 1.1 History - 3 - 1.2 Orange Romania - 4 - 2. MISSION, VALUES, VISION, OBJECTIVES. - 4 - 2.1 Mission - 4 - 2.2 Values - 4 - 2.3 Vision - 4 - Objectives - 5 - 4. PEST ANALYSIS OF ORANGE - 6 - 4.1 Political - 6 - 4.2 Economical - 7 - 4.3 Social - 7 - 4.4 Technological - 7 - 5. THE FIVE FORCES MODEL - 7 - 5.1 The threat of entry - 7 - 5.2 Bargaining Power of Suppliers - 8 - 5.3 Bargaining Power of Buyers - 8 - 5.4 Threat of Substitute Products - 8 - 5.5 Intensity of Rivalry among Competitors - 9 - 6. FINANCES AND MANAGEMENT - 9 - 6.1 Management team - 9 - 6.2 Finances - 10 - 7. Internal Environment - 12 - 7.1 Tangible Resources - 12 - 7.2 Intangible Resources - 12 - 8. ORANGE INNOVATION - 13 - 8.2 Orange Romania future projects - 14 - 9. CORPORATE SOCIAL RESPONSIBILITY - 15 - 1.Introduction Worldwide there are over 4 billion people that are separated by distance, who speak different languages and have different lifestyles.But they all chose the same thing: to communicate as they feel, to look with optimism to the future.All of them are close to each other thanks to Orange, one of the biggest communications companies worldwide. Orange is the key brand of France Telecom, one of the world's leading telecommunications operators. With more than 131 million customers, the Orange brand covers internet, television and mobile services in the majority of countries where the Group operates. At the end of 2009, France Telecom had sales of 44.8 billion euros (33.7 billion euros for the first nine months of 2010). At 30 September 2010, the Group had a total customer base of 203 million customers in 32 countries. These include 144.5 million mobile customers and 13.3 million broadband internet (ADSL, FTTH) customers worldwide.
The debit can reach 384 Kbit/s: this innovation has a real impact on the strategy of Orange and other companies who want to use new technologies to obtain new market shares. 5. The five forces model 5.1 The threat of entry Identifying new competitors it s often difficult, that is not the case in the mobile phone industry. Because the mobile phone operators must compete for spectrum licenses, they can easily identify their competitors in the individual markets. he threat of new entrants bringing additional production capacity should be downplayed in this industry, because technology should assumed to be similar and thus new entrants do not necessarily bring additional production capacity, nor does their entry hold consumer cost down. he ?xed-line operators do however present a risk to mobile phone operators, because they will certainly provide extra production capacity and lower the consumer costs as a result of this competition. 5.2 Bargaining Power of Suppliers Mobile phone manufacturers are the primary supplier to the mobile phone operator market. These manufacturers were dominated by Ericsson, Nokia, and Motorola with 61 percent of the market. Because the mobile phone manufacturing brands were more important to consumers than the mobile phone operators themselves, bargaining power of suppliers was high.Industry ?rms are not a signi?cant customer for the supplier group because the suppliers operate in far more international locations and markets than the mobile phone operators. Suppliers' goods are critical to buyers' marketplace success. Mobile phone manufacturers could integrate forward into the industry. These suppliers were credible, having substantial resource and provide a highly diferentiated product. 5.3 Bargaining Power of Buyers There was very little di?erentiation among mobile phone operators, and the switching costs are low. Accordingly, the industry ?rms battle for higher quality, greater levels of service, and lower prices than their competitors, and the consumers bene?t. Mobile phone customers purchase the entire portion of the mobile phone operator's industry output.
9. Corporate social Responsibility Orange believe's in the responsible development of the company, in a strategy for sustainable development, respect the environment, the community where we operate, the employees, the partners, and shareholders. Orange belive that they can have a significant positive impact on community development and this is why they have taken this responsibility very seriously. Orange Group has a global corporate responsibility strategy aimed at providing a responsible business management in all markets. 9.1 Orange in the community Orange Romania supports initiatives and projects that relate to communication and dialogue. They want to bring added value to the communities where we operate and, in this respect, they believe they need to contribute with more than financial resources. Orange's Corporate Responsibility projects help us play a more active role in community' s life and promote dynamism and innovation. People with communication disabilities Since 2004 Orange support a project of Light into Europe association, dedicated to children with hearing and sight impairments. The project is aimed at reducing the risk of social exclusion for these young people, encouraging responsible decisions by moving the children' s energy in a positive direction that can offer them better opportunities for integrating in society. Education For Orange, the most important investment is made in people, because according to their vision, only this approach can ensure long-term success. Orange believe they have an important role to play in professional development of young people, and for that reason they have developed over the years a series of programmes for students: School of Sales, School of Marketing,etc. Environment conservation Orange concluded a partnership with the ADEPT Transylvania foundation to support an innovative project dedicated to the conservation of landscape biodiversity and the development of rural communities. The project is aimed at a 100,000 hectare area in the Saxon Villages region of South-Eastern Transylvania. This is an important region from ecological and cultural points of view, where a remarkable biodiversity of flora and fauna can still be found, including many species threatened with extinction at international level. 10.
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