Telus - Marketing Research

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Report Two: Telecommunications Carriers Industry (NAICS 517)

Instructor: Rita Cossa

Course code: COMM 2MA3

Group Number: 324

Date: November 11, 2010


Introduction 1

Economic Environment 1

Competitive Environment 1

Legal and Regulatory Environment 2

Technological Environment 2

Social Environment 3

Conclusion 4

Appendix A- Survey for Telecommunications Industry 5

Notes 7

Bibliography 9

Primary Sources 9

Secondary Sources 9


The focus of this report will be on the Telecommunications Carriers Industry in Canada, which is under the NAICS classification 517 and the SIC classification 48.[i] The report will identify major trends of the economic, competitive, legal and regulatory, technological and social environments that surround this industry and its segments namely ‘Wireline Carriers’, ‘Wireless Service Providers’ (internet), ‘Resellers, Satellite and Other Telecommunications Services’ and the ‘Broadcast Distribution’ (cable TV).[ii] Finally, the opportunities and threats associated with each environment will be explained and analyzed in order to determine the impact they have on the industry.

Economic Environment

The Canadian Consumer Confidence Index (CCI) has been consistently increasing over the past few years, due to which, the revenue of the Canadian Wireless Industry has also seen a steady increase. The Canadian CCI has improved from 85.0 in October, 2008 to 96.3 in October, 2010, which shows an increase in the willingness to buy more products and services.[iii] “The Wireless market research firm’s Global Telecoms Insights study reveals that 55 per cent of Canadians are planning to buy a mobile phone within the next six months (January 2010 to June 2010), up from just 19 percent at this time last year,” and it is expected that a significant increase in the revenue of the Canadian Wireless Sector will occur in 2010.[iv] As consumer confidence increases in the economy, the consumer spending will follow in all...