Pakistan Telecom Industry

Pakistan Telecommunication Industry

Pakistan Telecommunication Authority (PTA) suggests that telecom landscape of the country has emerged as one of the most dynamic business sector in the country where telecommunication services have become a household utility (PTA, 2006). Jabeen and Sadia (2007) argues the fact that future of Pakistani telecom industry looks promising as sizeable percentage of the population has enough disposable income to cater to the mobile communication industry provided the companies are successful in uncovering latent potential in the market. Mangi (2005) emphasised in his article published in Business Week that Pakistani telecom market is so attractive that companies from as far as Norway, Egypt and United Emirates have been tempted to start their business in the country. Jabeen and Sadia (2007) advocates the fact that present condition of the Pakistani telecom market is a battlefront for a large number of private telecommunication expecting a new investment in telecom sector being projected at US $ 1,159 million in 2008, making Pakistan as one of the most fastest-growing cellular markets. The authors further argue the fact that competition has intensified with each service operator fighting the battle for sustainability. Pakistani telecom market is being regarded as one of the volatile markets. Konik (2007) regards the Pakistani telecom market on the radar screen of the major industry players as Vodafone has showed interest in buying shares of a Warid Telecom one of the key operators in Pakistan, China Telecom buying shares of Insta Phone and Etisalat buying 26% share on Government owned Pakistan Telecommunication Corporation Limited (PTCL). Jabeen and Sadia (2007) regard this as a cut-throat competition and having a profound effect on how telecom service providers must manage their strategies to attract and most importantly satisfy and retain their existing valuable customers. The authors emphasises on the fact that service providers...