MANILA — What’s the secret?
For the world’s fastest growing telecommunication companies, it is all about quality-led transformation, market-led adaptation and offering-led transformation.
According to the latest Growth Codes paper by Swedish communications technology and services provider Ericsson, all of the three qualities help the best telecommunications companies globally.
In the report, those with the healthy annual revenue growth of 5 percent or higher proved to have maturity when it comes to running their business by using higher proportion of non-voice revenue.
The said businesses or what Ericsson identifies as “frontrunners” can remain profitable by standards of positive Ebitda or earnings before taxes, depreciation, amortization and interest.
The first strategy is quality-led progression strategy used by companies with high-performing networks and services. These companies are also noteworthy for their strong brand preference.
The second most common strategy is the market-led adaption strategy were companies differentiate themselves through quick adaptation to prevailing market conditions.
And the third, which differentiates companies through the use of strategic partnering and improved network performance is what they call the transformation strategy.
“The journey toward 5G in 2020 will be marked by both new technology advances and new business models, but that transformation really started with the shift from voice to data-driven networking. The operators who are managing that transition successfully may provide the blueprint for success in 5G,” Patrik Cerwall,Ericsson’s Head of Radio Strategic and Tactical Marketing said.