The Seeds of change : Telecom New Zealand

Abstract

The case embraces the late 1990s period when competition within the New Zealand telecommunications industry intensified and widened in terms of the number of competing companies and the diversification of services offered. Although Telecom NZ continued to dominate the telecommunications landscape with an estimated 80% market share, a plethora of credible telecommunications service providers, such as Clear Communications, Vodafone and Telstra NZ, presented a serious threat for the company's future growth. The major focus of this case study is on the sources of Telecom NZ's competitive advantage and challenges the company faces in considering its future options. Includes questions for dicussion. NOTE: This case is also available as a teaching case from the University of Auckland Business Case Centre, Case Number, UA-2005-025