1. Strategic Management
– Term Report –
Warid Telecom
Submitted To: Sir ZarrarZubair
Submitted By: Umair Khalid Paracha (13257)
ZeeshanValliani (12543)
S.M. Zeeshan (8779)
Muhammad Kashif (11017)
Muhammad Asim Hayat (11084)
Semester: Summer 2013

2. 1
Contents
1. Letter of Transmittal .....................................................................................................................2
2. About Warid Telecom....................................................................................................................3
3. Business Definition and Scope ..................................................................................................4
Analysis of Warid’s Mission Statement...........................................................................................4
4. Telecom Industry Overview .......................................................................................................5
5. Macro Environmental Analysis ..................................................................................................6
Porter’s Five Forces ...........................................................................................................................6
PEST Analysis ..................................................................................................................................12
6. The Input Stage............................................................................................................................13
External Factor Analysis ................................................................................................................13
Suggested Strategies......................................................................................................................13
Competitive Profile Matrix.............................................................................................................14
Internal Analysis...............................................................................................................................15
Strengths and weaknesses.............................................................................................................17
Suggested Strategies ......................................................................................................................18
7. The Matching Stage.....................................................................................................................20
TOWS Matrix ......................................................................................................................................20
The SPACE Matrix.............................................................................................................................22
BCG Matrix..........................................................................................................................................25
The Internal-External (IE) Matrix.............................................................................................26
Grand Strategy Matrix....................................................................................................................27
Warid’s Company Specific Strategies...........................................................................................28
8. Decision Stage for Warid Telecom.........................................................................................29
QSPM Matrix.......................................................................................................................................29
9. Blue Ocean Strategy ...................................................................................................................31
10. Strategy Implementation......................................................................................................32

3. 2
1. Letter of Transmittal
September 13th
, 2013
Mr. ZarrarZubair
Lecturer Sales Management
Institute of Business Management
Dear Sir,
Presented is our term report on “Warid Telecom”. The project involved strategic
analysisandresearch on the company and is prepared according to the guidelines provided
during the semester.
We would like to thank you for providing the guidelines & suggestions which enabled us to
complete this report as our final project. We have worked vigorously on this project to bring you
the accurate and reliable results.
Sincerely,
Umair Khalid Paracha (13257)
Zeeshan Valliani (12543)
S.M. Zeeshan (8779)
Muhammad Kashif (11017)
Muhammad Asim Hayat (11084)

4. 3
2. About Warid Telecom
Warid Telecom is one of the cellular service providers in Pakistan launched in May 2005. The
company is now 100% owned company of the Abu Dhabi Group and offers state-of-the-art
telecommunication services at over 7,000 destinations in Pakistan. The company was formed
as a joint venture between Abu Dhabi Group and Sing Tel where SingTel acquired 30% percent
equity stake but later Abu Dhabi Group bought the remaining stakes in the company from Sing
Tel. Many view the purchase of remaining stake as part of Abu Dhabi Group strategy to support
Warid Telecom’s continued growth and enhance its market position.
Board of Directors
His Highness Sheikh Nahayan Mabarak Al Nahayan (Chairman/Director)
Mr. Boulos ("Paul") H. B. Doany (Alternate Director for Sheikh Nahayan Mabarak Al Nahayan)
Mr. Khurshid Hadi (Director)
Mr. Michael Buchen (Director)
Mr. Adeel Bajwa (Director)
Mr. Jinah Haj Ali (Director)
Mr. Muneer Farooqui (Director & Chief Executive Officer)
Management Team
Mr. Muneer Farooqui (Chief Executive Officer)
Mr. Tariq Gulzar (Chief Financial Officer)
Mr. Ali Raza Mehdi (VP Administration & Human Resources)
Mr. Younas Iqbal Sheikh (Chief Commercial Officer)
Mr. Muhammad Irfan Chaudry (Chief Technical Officer & Chief Information Officer)
Mr. Suhail Jan (VP Sales & Distribution)

5. 4
3. Business Definition and Scope
Mission and Purpose
“We will continue to challenge ourselves and set new performance standards by investing in the
future of our people and seeking knowledge and innovation in order to exceed customer
expectations and serve our community”
Vision
The company’s vision is to
“To become the primary service provider of all communication needs of subscribers in Pakistan‚
supported by exemplary customer care”.
Warid Telecom started its operation in May 2005 from Pakistan. Warid Telecom International
LLC, purchased a license for operating a nationwide mobile telephone network, (WLL) and long
distance international (LDI) for $291 million US dollars. Within 80 days of launch Warid attracted
more than 1 million users. Currently the network has around 15 million subscribers. In Warid’s
business strategy core determinants include:
Competitiveness: differentiated in value added aspects
Rapid Response of company: when need is identified they respond to it
Customer care by providing quality service: The pre-paid segment is branded
and marketed as Zem Pre-Paid.
Users enjoy various value added services (VAS), such as SMS, MMS, GPRS, 64K SIM and a
host of other features.
Analysis of Warid’s Mission Statement
Determinan
t
Customer
s
Product
s and
Service
Market
s
Technolog
y
Survival
Growth
and
Profitabilit
y
Self
Concep
t
Concer
n for
Public
Image
Philosoph
y
Concern
for
Employee
s
      

6. 5
4. Telecom Industry Overview
Mobilink was the first to enter the telecom sector in Pakistan. It was in early 1990s that the
telecom sector got attention of end consumers. At that time also, people were not aware of all
those value added services or the benefits of carrying a cellular network.
Telecom sector has been expanding with every passing year. The subscriber base has also
increased from 5.02 million to 114 million people. This shows the exponential growth of the
sector. However, the revenues from each customer have drastically decreased due to the price
wars in the sector.
Annual Cellular Subscribers
Mobilink Ufone Zong Instaphone Telenor Warid Total
2003-04 3,215,989 801,160 470,021 535,738 5,022,908
2004-05 7,469,085 2,579,103 924,486 454,147 835,727 508,655 12,771,203
2005-06 17,205,555 7,487,005 1,040,503 336,696 3,573,660 4,863,138 34,506,557
2006-07 26,466,451 14,014,044 1,024,563 333,081 10,701,332 10,620,386 63,159,857
2007-08 32,032,363 18,100,440 3,950,758 351,135 18,125,189 15,489,858 88,019,812
2008-09 29,136,839 20,004,707 6,386,571 34,048 20,893,129 17,886,736 94,342,030
2009-10 32,202,548 19,549,100 6,704,288 0 23,798,221 16,931,687 99,185,844
2010-11 33,378,161 20,533,787 10,927,693 0 26,667,079 17,387,798 108,894,518
2011-12 34,703,110 22,019,458 14,423,646 0 28,470,254 14,990,190 114,606,658
May
2013
36,747,587 23,869,218 20,199,828 0 31,693,191 12,503,036 125,012,860
If we start to observe this chart of subscribers only, then we can very clearly see that the growth
is not linear but exponential but Warid seem to go through a down turn. Warid’s subscriber base
has recently shrinked to approximately 12.5 million from almost 18 million 3 years back.

7. 6
5. Macro Environmental Analysis
Porter’s Five Forces
Threat of New Entrants
Yes
(+)
M No
(-)
Do large firms have a cost or performance advantage in your segment of
the industry?

Are there any established brand identities in your industry? 
Does your company incur any significant costs in switching suppliers? 
Is a lot of capital needed to enter your industry? 
Does the newcomer to your industry face difficulty in accessing distribution
channels?

Does the newcomer have any problems in obtaining the necessary skilled
people, materials or supplies?

Does your product or service have any proprietary features that give you
lower costs?

Are there any licenses, insurance or qualifications that are difficult to
obtain?

Can the newcomer expect strong retaliation on entering the market? 
7 1 1

8. 7
The threat of new entrants is low because the industry is reaching a saturation point and the
cost of entering the industry is also very high in terms of setting up the poles for signals in each
area. The coverage is not easily obtained and that is where the entrance as well as survival in
the industry becomes difficult for every player. They can make use of this positive element by
expanding their coverage and customer base. *1*2
Bargaining Power of Buyers
Yes (+) M No (-)
Are there a large number of buyers related to the number of firms in the
business?

Do you have a large number of customers, each with relatively small
purchases?

Does the buyer need a lot of important information? 
Is the buyer aware of the need for additional information? 
Is there anything that prevents your customer from taking your function
in-house?

Your customers are not highly sensitive to price. 
Your product is unique to some degree or has accepted branding, 
Your customers’ businesses are profitable. 
You provide incentives to the decision makers. 
3 3 3
The bargaining power of buyers is moderate. There are both positive and negative aspects of
this factor. The reason for this moderate power is that there are two types of buyers for this
particular industry. One buyer is the end user of the network and another buyer is the retail
stores that carry the Sim cards and the recharge vouchers. Here, the threat that it may pose is
that if companies are unable to judge the threshold of expanding into the markets, then they will

9. 8
end up even reducing their own power over their buyers. *1
Bargaining Power of Suppliers
Yes (+) M No (-)
My inputs (materials, labor, supplies, services etc.) are standard
rather than unique or differentiated.

I can switch between suppliers quickly and cheaply. 
My suppliers would find it difficult to enter my business or my
customers would find it difficult to perform my function in-house.

I can substitute inputs readily. 
I have many potential suppliers. 
My business is important to my suppliers. 
My cost of purchases has no significant influence on my overall
costs.

4 1 2
The bargaining power of suppliers is on the lower side. The suppliers do not have the ability to
threaten the company because there are abundant suppliers in the industry and also, the
supplies are commodities instead of differentiated products. There are many retail outlets
available for the company to expand into. *2
Threat of Substitutes
Yes (+) M No (-)
Substitutes have performance limitations that do not completely offset
their lowest price. Or, their performance is not justified by their higher
price.

The customer will incur costs in switching to a substitute. 

10. 9
Your customer has no real substitute. 
Your customer is not likely to substitute. 
2 1 1
The threat of substitutes is also low because there are no many real substitutes to make the
task for a company difficult. The substitutes are in the form of PTCL, Go CDMA or other such
communication providers. But they lack the ability to mobilize their services and therefore the
threat of substitutes remains low.
Rivalry against Competitors
Yes (+) M No (-)
The industry is growing rapidly. 
The industry is not cyclical with intermittent overcapacity. 
The fixed costs of the business are a relatively low portion of total
costs.

There are significant product differences and brand identities
between the competitors.

The competitors are diversified rather than specialized 
It would not be hard to get out of this business because there are no
specialized skills and facilities or long-term contract commitments,
etc.

My customers would incur significant costs in switching to a
competitor.

My competitors are all of approximately the same size as I am. 
0 4 4
The rivalry against competition is tough. The reason which is leading to this situation is the fact
that there are fewer players in the industry. The total number of players in the industry is less

11. 10
than 10 however; the market size is big in comparison to that. A company can reduce this threat
by offering more value added services so that there is some differentiation element created. The
threat here is that the competitors are also big in size and can simply follow what one
companydoes to differentiate itself. *3*4

12. 11
Overall Industry Analysis
Overall Industry
Rating
Favourable Moderate Unfavourable Implications
1 Threat of New
Entrants
7 1 1 It is difficult for new players
to enter so the current ones
can avail larger shares.
2 Bargaining Power
of buyers
3 3 3 The buyer power is
moderate.
3 Bargaining power
of Suppliers
4 1 2 The suppliers cannot impose
any conditions on the
company due to less power.
4 Threat of
Substitutes
2 1 1 There are no real substitutes
which is good for the
industry.
5 Rivalry against
competitors
0 4 4 The competition is strong
therefore; the industry is
facing tough competition
among all rivals.
Total 16 10 11
The industry is overall moderate in terms of its attractiveness on the basis of its overall score on
all external factors.

13. 12
PEST Analysis
Political factors
Political factors include government regulations and legal issues and define both formal and
informal under which the firm must operate. Some examples include:
Tax policy
Employment laws
Environmental regulations
Trade restrictions
Political stability
The political factor makes the Telecom Industry unattractive in Pakistan because of the political
instability issues and also the security conditions are not stable. Therefore profits can only be
generated either through cost reductions or branding. Cost reductions are easy for this sector
because the portion of variable cost in the total cost is low. Only the initial capital investment is
very high.*2
Economic Factors
Economic factors affect the purchasing power of potential customers and the firm’s cost of
capital. The economic factor has made the Pakistani Telecom industry unattractive as it has led
to a decrease in the purchasing cost of the end consumer as well as the companies negatively.
The companies can only progress if they tend to reduce the overall prices. The effect of these
reduced prices directly affects the profitability of all companies. Their profit margins are cut
down and they can only survive if they stop to go for those price wars among themselves.*3
Social Factors
Since social lives have become virtual these days. We tend to send text messages or call each
other instead of going for a hang out. This is why this factor is in favour of the telecom industry.
The company can cash this element by coming up with packages like groups of friends and
family etc.*4
Technological Factors
Technological factors include R & D activity, Automation, Technological incentives, and Rate of
technological change.
The technological factor has made the Telecom Industry very competitive as this is one crucial
factor for any company in the sector of telecom. Since profits are mostly generated through
economies of scale, therefore in order to achieve that objective latest state of the art technology
has to be implemented to gain a competitive edge. That technology is currently available in the
form of 3G license which Warid tends to obtain from PTA.*5

14. 13
6. The Input Stage
Opportunities Threats
Expand customer base Buyers can easily switch to other networks
Expand network coverage High initial capital investment
Provide more value added services Price wars among competitors
Packages for Family and friends Competitors can easily follow
Acquire 3G License
External Factor Analysis
Key External Factors Weight Rating Weighted score
Opportunities
Expand customer base 0.1 2 0.2
Expand network coverage 0.1 3 0.3
Provide more value added services 0.05 4 0.2
Packages for Family and friends 0.04 3 0.12
Acquire 3G License 0.2 4 0.8
Threats
Buyers can easily switch to other networks 0.1 3 0.3
High initial capital investment 0.12 4 0.48
Price wars among competitors 0.19 3 0.57
Competitors can easily follow 0.1 3 0.3
Total 1.0 3.27
Suggested Strategies
For the current situation, the suggested strategies for Warid include;

15. 14
Acquire 3G license so that as soon as the technology becomes operable in Pakistan, then
Warid would be the first one to serve its customers with that technology and this will further
enhance the quality of their services and customer care.
Warid must try to expand its customer base so that the threat of competitors is also reduced and
the company does not have much to fear about. For doing so, the company can come up with
packages for new connections to attract more traffic of people. Providing more value added
services will help the company in retaining the newly acquired customers.
Competitive Profile Matrix
Critical SuccessFactors Warid Mobilink Telenor Ufone
Weight Rating Weighted
Score
Rating Weighted
Score
Rating Weighted
Score
Rating Weighted
Score
Service Quality 0.15 4 0.6 3 0.45 3 0.45 3 0.45
Customer Loyalty 0.10 1 0.1 3 0.30 4 0.40 3 0.30
Human resource 0.10 2 0.2 4 0.40 3 0.30 3 0.30
Technological
know-how and
innovation
0.20 3 0.6 4 0.80 3 0.60 4 0.80
Pricing 0.06 2 0.12 2 0.12 2 0.12 4 0.24
Global Expansion 0.10 2 0.2 3 0.30 4 0.40 0 0
Market Share 0.12 2 0.24 4 0.48 3 0.36 3 0.36
Financial Position 0.08 2 0.16 3 0.24 3 0.24 3 0.24
After Sales
Service
0.09 3 0.27 2 0.18 3 0.27 2 0.18
Total 1.00 2.49 3.27 3.14 2.87
From the above matrix, it is obvious that Warid’s positioning in comparison to its competitors is
weak. The company should improve in the area of market share, global expansion, and also in
the area of after sales services. These steps can be taken if the company focuses more on its
service centre and franchisee so that each customer who enters their service centre, does not

16. 15
come out with an unsolved problem.
Internal Analysis
Primary Activities
Inbound Logistics
The inbound logistics for Warid involve sim cards, designing packages, and printing handbooks
or catalogs for packages.
Operations
The operations of Warid involve consistently manufacturing attractive packages for customers. It
also involves designing roaming facilities and handling them so that the end user does not come
across any problems. *1
Outbound Logistics
The outbound logistics constitute of timely delivery of services to the consumers. The customers
successfully make calls and communicate with others through the network.
Inbound
Logistics
•Catalogs
Printing
•Sim cards
•Packages
Operations
•Roaming
•Network
Signals
Outbound
Logistics
•Calls
•Sms
reservations
Marketing
and Sales
•Promotion of
packages
•Personified
packages
Services
•Query
Handling
•Corporate
services for
business
clients

17. 16
Marketing and Sales
The marketing and sales consists of the company’s promotional activities. Warid has not been
aggressively marketing as compared to other telecom players in the market. *1
The company’s marketing and sales further includes personified packages for its consumers.
*2
Services
Their services include providing call centre facilities, timely response to the queries, and also
value added services. This helps the company maintain certain differentiation from its
competitors that they are able to cater to their consumers in due time. They also come across a
fewer number of customer complaints.*3
Despite all of these possible elements, Warid has not been successful in creating a strong
differentiating element for the brand. The brand is still not clearly defined to its customers.*2
Support Activities
Procurement
Procurement mainly revolves around obtaining material for the packaging of the sims to shape
them into the final deliverable condition. Their procurement does not have anything special or
unique to offer in comparison to any other cellular network provider.
Human Resource Management
The human resource of the organization is very strong. The company encourages people to
work in groups and those groups work in a decentralized manner. Their approach is very
pragmatic.*4
Technological Development
Warid is trying to utilize state of the art technologies to stay ahead of time. They are recently
also trying to acquire 3G technology so that they can serve their customers in the best way. But
apart from their recent efforts to acquire 3G technology, they do not presently have any such
system which can help them differentiate in any way.*3

18. 17
Firm Infrastructure
The firm infrastructure is poorly managed. Despite having great human asset, they have not
been able to use that human asset in managing their firm infrastructure. At present, Warid has a
big customer base, but their customer base has been going down because they are not
establishing their infrastructure in a strong way.*4
Core Competencies of Warid
Warid core competency is their ability to operate on lower operating costs. They have been able
to reduce their operational costs. But that cost cutting has not been passed on to the end users.
Yet, they have wisely maintained to remain competitive in terms of their prices and
packages.*5
Another element which differentiates Warid from its competition is that Warid is the only
company which is least affected due to these price wars. All other companies have been
reacting to each others’ strategies regarding price wars and price cuts.*6
Strengths and weaknesses
Strengths Weaknesses
Roaming facilities Very few marketing activities for the brand
Personified packages Ambiguous brand identity
Better customer packages Unutilized technology
Cooperative work groups Poor firm infrastructure
Appropriate value against price
Not prone to price wars

19. 18
Internal Factor Analysis
Key External Factors Weight Rating Weighted score
STRENGTHS
Roaming facilities 0.10 3 0.30
Personified packages 0.08 3 0.24
Better customer packages 0.12 3 0.36
Cooperative work groups 0.10 4 0.4
Appropriate value against price 0.10 4 0.40
Not prone to price wars 0.05 4 0.20
WEAKNESSES
Very few marketing activities for the brand 0.15 2 0.30
Ambiguous brand identity 0.08 2 0.16
Unutilized technology 0.12 3 0.36
Poor firm infrastructure 0.10 2 0.20
Total 1 2.92
The company’s overall position with respect to its strengths and weaknesses is average. The
score indicates that the company has enough margins to improve in many areas in which it
currently is giving a moderate performance.
Suggested Strategies
At this stage, the suggested strategy is to focus more on building upon the strengths rather than
paying attention to the weaknesses. The action plan to do so involves introducing more
personified packages so that customers feel exclusive and valued.
In order to reduce the impact of weaknesses, Warid can and must improve its firm infrastructure

20. 19
and make its presence felt in the market. The company needs to create more reminder
advertising so that people know of its presence and remember that it is also there to serve to
their needs.
Response (Strengths)
With respect to this action plan, the strength will pay off my being highlighted. The company will
gain more attention if it comes up with more personified packages because everyone today
believes in exclusivity and thus Warid will end up having higher customer traffic.
Response (Weaknesses)
The weakness will wear off if the firm makes an effort for establishing and improving on what is
already built. The already established firm infrastructure can also be improved with just a little
effort from the human resource and also by involving some financial resources to plan and
implement it. The company can actually afford to invest on its improvement due to their efficient
operations and lower costs. The profit margins for the company are also higher than its
competitors because of not being highly involved in price cuts.
Generic Strategy
Warid is following a focused differentiation strategy. Their focus is on creating a difference in
their services. Their packages like Zem and Glow are to differentiate the service from other
competitors in the market. They also have cost effectiveness but their focus is more on
differentiation with respect to their core products and services.
The reason they have a narrow audience is that they have not targeted the whole population.
Their focus is more on youth and even among youth, their focus is on A and B class of the
economy which collectively forms a very small size of the entire population.
Overall Cost Leadership Overall Differentiation
Focused Cost Leadership Focused Differentiation
•Warid Telecom
Generic Strategy

21. 20
7. The Matching Stage
TOWS Matrix
Strengths Weaknesses
1. Roaming facilities 1. Very few marketing activities for the
brand
2. Personified packages 2. Ambiguous brand identity
3. Better customer packages 3. Unutilized technology
4. Cooperative work groups 4. Poor firm infrastructure
5. Appropriate value against price
6. Not prone to price wars
Opportunities S-O Strategies W-O Strategies
1. Expand customer
base
1. Expand customer base by
coming up with better customer
packages.
1. Acquire 3G license to eliminate the
weakness of unutilized technology
2. Expand network
coverage
2. Expand network coverage with
the help of improved roaming
facilities within the country and
abroad.
2. Expand network coverage with the
help of improved firm infrastructure
3. Provide more value
added services
3. Provide more value added
services in the form of
personified packages
4. Packages for
Family and friends
5. Acquire 3G
License
Threats S-T Strategies W-T Strategies
1. Buyers can easily
switch to other
1. Play on the basis of quality
services instead of prices so that
1. The company must try to clarify the
brand identity to reduce the threat from

22. 21
networks competitors find it hard to imitate. rivals
2. High initial capital
investment
2. Provide appropriate value against
prices so that buyers do not
switch frequently.
2. Warid must increase their marketing
activities so that the buyers have
reasons to believe and do not leave
the company.
3. Price wars among
competitors
3. Cooperative work groups can
help them reduce on their fixed
operating costs
4. Competitors can
easily follow

23. 22
The SPACE Matrix
Internal Strategic Position Rating Internal Strategic Position Rating
Financial Strength (FS)
Return on investment
Liquidity
Working Capital
Operating profit
Risk involved in business
5
5
6
5
4
Environmental Stability (ES)
Technological changes
Price range of competing products
Competitive pressure
Inflation
Barriers to entry
Ease of exit from market
-2
-1
-2
-2
-3
-2
-2
5 -2
Competitive Advantage (CA)
Market Share
Product Quality
Customer Loyalty
Technological updation
Control over supplier and
distributor
-5
-5
-3
-3
-5
-3
Industry Strength (IS)
Growth Potential
Profit Potential
Financial Stability
Technological innovations
Resource utilization
Ease of entry into the market
6
6
6
5
5
2
-4 5

24. 23
SPACE Quadrant
Conservative FS Aggressive
CA IS
Defensive ES Competitive
Aggressive Quadrant
This means that an organization is in an excellent position to use its internal strengths
to:
1. Take advantage of external opportunities
2. Overcome internal weaknesses
-6
-5
-4
-3
-2
-1
+0
+1
+2
+3
+4
+5
+6
-5 -4 -3 -2 -1 +0 +1 +2 +3 +4 +5

25. 24
3. Avoid external threats
Strategies for SPACE Quadrant
Following Strategies are available to a company falling in the aggressive quadrant.
1. Backward, Forward, horizontal integration
2. Market penetration
3. Market development
4. Product development
5. Diversification
Company Specific Strategies
In Warid’s case, the company can go for market penetration through expanding its network
coverage and expanding its customer base. This will require the company to widen the scope of
its own target audience and formulate its messages in such a way that they cater to a wider
audience.
The company must go for product development with the help of 3G technology which is the hot
topic in the industry. Warid can gain substantial attention from every corner if it acts as the
pioneer in serving its consumers with 3G technology.

26. 25
BCG Matrix
Warid’s Position on the BCG Matrix
If we begin to consider Warid as a product in the telecom sector and the remaining competitors
as other products, then Warid can be placed in the quadrant of Question Mark. At this stage, it
depends upon the company to decide whether it would want to grow or close down. At this
stage, looking at the entire industry, Warid has more options to expand and grow as there are
many underutilized resources and various open opportunities in the market to grab.

27. 26
The Internal-External (IE) Matrix
The IFE Total Weighted Score
Strong Average Weak
3.0 to 4.0 2.0 to 2.99 1.0 to 1.99
High I II III
3.0 to 3.99
Warid Telecom
Medium IV V VI
The EFE
Total
Weighted
Score
2.0 to 2.99
Low VII VIII IX
1.0 to 1.99
Analysis
The analysis of Internal External Matrix suggests that warid must grow and build at this stage.
They can grow and build by expanding into untapped segments and covering the uncovered
areas of the market as well. This means they must widen the scope of their target market and
try to cater to more people and more economic classes of people.

28. 27
Grand Strategy Matrix
RAPID MARKET
GROWTH
Quadrant II Quadrant I
Target
WEAK
COMPETITIVE STRONG
POSITION COMPETITIVE
POSITION
Warid Telecom
Quadrant III Quadrant IV
SLOW MARKET
GROWTH
Analysis
Warid’s current position does not have much to offer but there are opportunities available in the
market to benefit from. Strategies for third quadrant include:
1. Retrenchment
2. Concentric diversification
3. Horizontal diversification
4. Conglomerate diversification
5. Divestiture

29. 28
6. Liquidation
Warid’s Company Specific Strategies
Warid can apply the strategy of diversifying into related areas. Warid can come up with internet
facilities in order to expand its market coverage as well as customer base. It will give more
options to the end consumers to choose from as well. Concentric diversification on the level of
partnerships with other smaller groups offering related services can also lead to growth
opportunities for Warid.

30. 29
8. Decision Stage for Warid Telecom
QSPM Matrix
QUANTITATIVE STRATEGIC PLANNING MATRIX FOR Warid Telecom
Strategic Alternatives
Critical Success Factors
Weigh
t
Expanding
Network
Coverage
Acquiring and
Introducing 3G
technology
Strengths AS TAS AS TAS
Roaming facilities 0.10 3.00 0.30 2.00 0.20
Personified packages 0.08 3.00 0.24 1.00 0.08
Better customer packages 0.12 4.00 0.48 1.00 0.12
Cooperative work groups 0.10 2.00 0.20 3.00 0.30
Appropriate value against price 0.10 1.00 0.10 3.00 0.30
Not prone to price wars 0.05 ---- ---- 2.00 0.10
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
Weaknesses
Very few marketing activities for the brand 0.15 4.00 0.60 1.00 0.15
Ambiguous brand identity 0.08 4.00 0.32 2.00 0.16
Unutilized technology 0.12 ---- ---- 4.00 0.48
Poor firm infrastructure 0.10 1.00 0.10 3.00 0.30
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
SUBTOTAL 1.00 2.34 2.19

31. 30
Critical Success Factors
Weigh
t
Expanding
Network
Coverage
Acquiring and
Introducing 3G
technology
Opportunities AS TAS AS TAS
Expand customer base 0.10 4.00 0.40 2.00 0.20
Expand network Coverage 0.00 4.00 ---- 3.00 ----
Provide more value added services 0.05 3.00 0.15 2.00 0.10
Packages for Family and friends 0.04 3.00 0.12 1.00 0.04
Acquire 3G License 0.20 ---- ---- 4.00 0.80
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
Threats
Buyers can easily switch to other networks 0.10 3.00 0.30 3.00 0.30
High initial capital investment 0.12 ---- ---- 2.00 0.24
Price wars among competitors 0.19 3.00 0.57 2.00 0.38
Competitors can easily follow 0.10 2.00 0.20 4.00 0.40
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
0.00 ---- ---- ---- ----
SUBTOTAL 0.90 1.74 2.46
SUM TOTAL ATTRACTIVENESS SCORE 4.08 4.65
QSPM Strategy to be Implemented
On the basis of the total attractiveness scores for both the alternates, Warid should go for
acquiring 3G technology so that it can overcome its weakness of unutilized technology as well

32. 31
and serve its present and potential customers in a better way.
9. Blue Ocean Strategy
The ERRC Grid
This is one of the unorthodox models for a cellular company which is currently not used by any
other company. This model can help them bring clarity to their ambiguous brand identity and
also help them in expanding their customer base which is crucial for the company at this stage
of weak competitive position and low market growth.
Until now, no one seems to be eliminating the hassle of physical visits to the company franchise
which really troubles almost all the consumers. Another element which is not yet thought about
by any other company is of virtual billing system. People still need to buy those scratch cards to
recharge their accounts. They can instead use their PayPal accounts to recharge their
accounts. This will also eliminate the time constraint which was there in the scratch card
system. People cannot buy scratch cards if shops are closed. On that element, cellular
companies also lose huge revenues and business.
•service errors
•Physical visits to outlets
•Virtual billing system
through paypal or
mastercard
•Provide executional
options through
helpline only.
•Value added services
•value for money
invested
•Conventional system of
recharge
•Service centre or
physical outlets
Eliminate Raise
ReduceCreate

33. 32
10. Strategy Implementation
This is the phase where most of the firms go wrong. Despite doing so much of homework and
struggle in coming up with the right action plan and set of activities, this is the phase, which
ruins it all for many companies. 9 out of ten companies fail in strategy implementation. There
are three determinants which require to be given proper attention for the selected action plan to
reap the desired results.
Resource Structure Culture
High quality network to
support latest technological
advancements
Well established
technological structure
should be present
High teamwork
among employees
Most hi-tech infrastructure
to accommodate 3G
services
De-centralized structure
should be kept
Very interactive
culture exists with
an open door policy
Heavy financing will be
required as introducing 3G
services is very expensive
High class business
culture
Good PR should be
present to jump through
loopholes and avoid extra
taxes and licensing issues