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Strategic Management Assignment 01

This document reviews the strategic management practices of Grameenphone, Bangladesh's leading telecommunications provider, highlighting its challenges and opportunities in the digital era. It discusses the company's mission, vision, and competitive positioning, as well as the impact of technological advancements, market competition, and regulatory constraints on its operations. The paper concludes with strategic recommendations for leveraging digital opportunities to maintain Grameenphone's leadership in the telecom sector.

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0% found this document useful (0 votes)
9 views8 pages

Strategic Management Assignment 01

This document reviews the strategic management practices of Grameenphone, Bangladesh's leading telecommunications provider, highlighting its challenges and opportunities in the digital era. It discusses the company's mission, vision, and competitive positioning, as well as the impact of technological advancements, market competition, and regulatory constraints on its operations. The paper concludes with strategic recommendations for leveraging digital opportunities to maintain Grameenphone's leadership in the telecom sector.

Uploaded by

mabir7949
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COURSE CODE: STRATEGIC MANAGEMENT

COURSE TITLE: MGT-305

SUBMITTED TO

TEACHER NAME: DR. MD MAMUN MIA


(ASSISTANT PROFESSOR)
DEPARTMENT OF (BBA)

SUBMITTED BY

NAME: ABIR HOSEN


ID: 0242220004081144
SECTION: 63 –(A)

DAFFODIL INTERNATIONAL UNIVERSITY

DATE OF SUBMISSION: 30/3/2025


A Review of Strategic Management at a Well-
Known Bangladeshi Company: Challenges and
Opportunities in the Digital World

Introduction:
Strategic management is crucial for companies to maintain
competitiveness in an increasingly digital world. In Bangladesh,
businesses are embracing digital transformation to enhance efficiency,
customer engagement, and profitability. Grameenphone (GP) is the
leading telecommunications service provider in Bangladesh, holding a
significant share of the market since its inception in 1997 .
This paper reviews the strategic management practices of a well-known
Bangladeshi company, identifying key challenges and opportunities in
the digital era. The study focuses on Grameenphone Ltd., the largest
telecom operator in Bangladesh, which has successfully implemented
strategic initiatives to navigate the digital landscape.
The digital age has transformed business environments worldwide,
requiring companies to continuously adapt to new technologies, market
demands, and regulatory challenges. This paper explores the strategic
management practices of Grameenphone, identifying the key challenges
it faces in the digital era and the opportunities it can leverage for future
growth.

Overview of Grameenphone:

• Company Background:
• Established in 1997, a subsidiary of Telenor
Group.
• Market leader in the Bangladeshi telecom sector
with over 80 million subscribers.
• Pioneer in mobile connectivity and digital
services.
• Key Business Areas:
• Mobile voice and data services.
• Digital financial services (partnership with
bKash).
• Corporate and SME solutions.
• Competitive Position & Market Share:
• Leading operator with over 46% market share.
• Competes with Robi Axiata, Banglalink, and
Teletalk.

Overview of Strategic Management at Grameenphone :


Mission, Vision, and Core Values

Grameenphone's mission is to empower societies by providing seamless


communication services. Its vision aligns with digital inclusivity, aiming
to connect Bangladesh with the global digital economy. Core values
such as innovation, customer-centricity, and integrity shape GP’s
strategic direction.
Grameenphone (GP), a subsidiary of Telenor Group, has been a pioneer
in Bangladesh’s telecom industry. Since its inception in 1997, GP has
evolved through various strategic phases, including market penetration,
service diversification, and digital transformation. The company’s
strategic management framework revolves around the following key
areas:
1.Vision and Mission Alignment – GP aims to empower society through
digital and mobile connectivity.
2.Competitive Positioning – It maintains a strong market share through
superior network coverage and innovative services.
3.Innovation and Technology Integration – GP continuously invests in
4G expansion and digital services such as MyGP app and GPAY.
4.Customer-Centric Strategies – The company focuses on user
experience, data-driven decision-making, and digital marketing.
5.Sustainability and Corporate Social Responsibility (CSR) – GP
integrates sustainability in business through green energy solutions and
community development initiatives.
Business Strategies
GP focuses on customer satisfaction, digital transformation, and
technological innovation. By investing in high-speed internet services
and expanding its digital ecosystem, GP aims to maintain its competitive
edge. The company also emphasizes corporate social responsibility
(CSR), particularly in areas such as education, health, and digital
literacy.
Competitive Positioning
Grameenphone holds the largest subscriber base in Bangladesh,
outperforming competitors like Robi, Banglalink, and Teletalk. Its
strong brand presence, extensive network coverage, and customer
loyalty programs reinforce its dominance in the telecom sector.
Challenges in the Digital World:
Technological Advancements & Digital Transformation

The rapid pace of technological change necessitates continuous


investment in network infrastructure, including 4G expansion and 5G
readiness. GP faces the challenge of upgrading its technology while
ensuring affordability and accessibility for users.

Despite its success, GP faces several strategic challenges in adapting to


the digital world:
1.Intense Market Competition
•The telecom sector in Bangladesh is highly competitive, with
companies like Banglalink and Robi investing in digital solutions.
•Price wars and declining average revenue per user (ARPU) impact
profitability.
2.Regulatory and Policy Constraints
•Government policies, taxation, and spectrum allocation pose challenges
to business expansion.
•Frequent regulatory changes create uncertainties in long-term strategy
formulation.
3.Cybersecurity Threats and Data Privacy Issues
•Digital transformation exposes GP to cyber risks, requiring robust
security frameworks.
•Ensuring customer data privacy while complying with local and
international regulations is a challenge.
4.Infrastructure Limitations
•Expanding digital services across rural areas is challenging due to
infrastructure gaps.
•High capital expenditure is required for network expansion and 5G
deployment.
5.Changing Consumer Behavior
•Customers are shifting from traditional voice services to data-driven
applications.
•Digital literacy remains a barrier to adopting advanced services in rural
areas.
Regulatory & Policy Challenges:

As a telecom operator, Grameenphone is subject to regulatory oversight


from the Bangladesh Telecommunication Regulatory Commission
(BTRC). Issues such as spectrum licensing, high taxation, and
compliance with government policies pose significant strategic hurdles.
Intense Market Competition
Robi, Banglalink, and Teletalk continue to challenge GP’s market share.
Additionally, Over-the-Top (OTT) platforms like WhatsApp, Facebook
Messenger, and Zoom have reduced the reliance on traditional telecom
services, impacting revenue from voice calls and SMS.
Cybersecurity & Data Privacy
As GP expands its digital services, data protection and cybersecurity
become critical. Risks such as cyberattacks, data breaches, and user
privacy concerns require strong security measures and regulatory
compliance.
Changing Consumer Behavior

The shift towards digital communication, streaming services, and e-


commerce affects GP’s traditional business model. The growing demand
for high-speed internet and digital services necessitates innovative
solutions to retain customers.
 Opportunities in the Digital World:
Despite these challenges, GP has several opportunities to strengthen its
market position:
1.5G and Smart Connectivity
•Investment in 5G technology can enhance service quality and enable
new digital solutions like IoT and AI-driven applications.
•Smart city initiatives in Bangladesh can create opportunities for
telecom-driven innovations.
2.Digital Financial Services Expansion
•With the growing fintech sector, GP can expand its digital payment
services through partnerships and innovations.
•Strengthening GPAY and mobile financial services can enhance
revenue streams.
3.Ecosystem Partnerships and Digital Services
•Collaboration with startups and tech companies can drive digital service
innovation.
•Expanding cloud solutions, entertainment platforms, and e-learning
services can cater to evolving consumer needs.
4.AI and Big Data for Customer Experience Enhancement
•Utilizing artificial intelligence (AI) and big data analytics can optimize
customer engagement and marketing strategies.
•Personalized services can increase customer loyalty and reduce churn
rates.
5.Sustainable Business Practices
•Investing in green technology and energy-efficient networks can
improve corporate sustainability.
•Expanding CSR initiatives can strengthen brand reputation and long-
term growth.

 Opportunities for Growth and


Innovation:
 5G Rollout & Advanced Connectivity:
 Grameenphone is preparing for 5G deployment,
which will enhance IoT, smart cities, and AI-based
services.
 Expansion of Digital Financial Services:
 Strengthening partnerships with bKash and Nagad
for fintech innovation.
 Opportunities in micro-loans, digital banking, and
mobile payments.
 E-commerce and Digital Ecosystem Development:
 Collaboration with online marketplaces, logistics, and
delivery platforms.
 Potential to expand cloud computing and enterprise
solutions.
 Strategic Partnerships & Foreign Investment:
 Leveraging Telenor’s global expertise in digital
transformation.
 Attracting foreign investment for infrastructure and
technology upgrades.
 Sustainability & Green Technology:
 Investment in renewable energy for network
operations.
 Smart infrastructure for energy-efficient mobile
towers.
o
 Strategic Recommendations:
To leverage digital opportunities while mitigating challenges, GP should
focus on:
1.Investing in Next-Generation Technologies – Prioritizing 5G, AI, and
IoT to stay ahead in the digital transformation race.
2.Enhancing Cybersecurity and Data Protection – Implementing
advanced cybersecurity frameworks to ensure customer trust.
3.Strengthening Government Relations and Policy Advocacy –
Engaging with regulators to create a favorable business environment.
4.Expanding Digital Financial Services – Strengthening GPAY and
partnering with fintech companies.
5.Improving Digital Literacy and Customer Education – Enhancing
consumer awareness to drive adoption of digital services.
Conclusion:
Grameenphone’s strategic management in the digital world presents
both challenges and opportunities. While regulatory constraints,
competition, and cybersecurity risks pose difficulties, investments in
technology, digital financial services, and AI-driven solutions can drive
future growth.
By adopting innovative strategies and strengthening its digital
ecosystem, GP can maintain its leadership position in Bangladesh’s
evolving telecom landscape.

References: https://www.grameenphone.com/about/discover-gp/about-
grameenphone/our-story#:~:text=Grameenphone%20began%20its%20journey
%20on,with%20the%20connectivity%20of%20network.

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