CELCOM
AXIATA
MUHAMMAD ARIFF FATHI BIN MAWARDI 2021937155
JAMIE JEREMY BIN JIMMY 2021389965
NORAZIZIAH ABDULLAH 2021765261
Table Of Content
INTRODUCTION PESTLE-ANALYSIS
SWOT-ANALYSIS PORTER’S FIVE FORCES
ANALYSIS
INTRODUCTION
Was founded in 1988
About Axiata (formerly known as TM International
Berhad), is one of the leading
CELCOM telecommunication companies in Asia
Most experienced mobile telecommunications –
AXIATA
9.38 mill customers (consist of prepaid &
postpaid)
Enjoy other significant market share in other
businesses – Content & VAS, Enterprise
Solution, Bulk Wholesale
The widest network coverage in the country –
2G, 3G, 4G, soon 5G
STRENGTHS
Celcom maintains a product
differentiation strategy
There is little turnover among
well-compensated employees
WEAKN
A long-term relationship with
E
the primary suppliers
The high percentage of sales
Being the oldest
telecommunications service
2025
provider in Malaysia
WEAKNESESS
Celcom lost their market
share compared to the
SWOT operators.
subscribes 20%*
It only
ANALYSIS
Poor quality of service
2027
(Fined by MCMC with
RM1.2mill in year 2020)
OPPORTUNITIES
Market penetration in
internet usage is increasing
Population growth and
urbanization is increasing the
demand WEAKN
Growth in telecommunication
E
service industry –
Digitalization & rapid
technology changes
IPO offerings in other 2025
countries
THREATS
Subscriber War Business
Practices
SWOT Smartphone war
Rapid changes in
ANALYSIS
technology
2027
Competition through
aggressive advertising and
attractive packages
POLITICAL
-Malaysia possesses political stability.
-In creating and implementing its foreign policy, it adheres to the values of peace and neutrality.
ECONOMIC
-Market competition has a solid institutional framework.
-Foreign Direct Investment grow by 131% from 2021.
-Malaysia ranking 12 out of 190 economies in the World Bank's Doing Business Index (2020)
SOCIOECONOMIC
-The country’s poverty and inequality are minimal and only moderately entrenched (specifically at
the Borneo states of Sabah and Sarawak)
-A very high level of human development. The country scored 0.810 in the UNDP's 2020 Human
Development Index
TECHNOLOGY
-The ICT sector in Malaysia is one of the fastest expanding, accounting for 19.1 per cent of the
country's GDP in 2019.
-Attractive to foreign technology companies; IBM, HP, Intel, Google, Amazon, and Cisco.
PESTLE
LAW
-The Consumer Protection Act (CPA) 1999 and Employment Law are the primary laws that
protects consumers and employees.
ANALYSIS ENVIRONMENT
-Air pollution from industrial and automotive pollutants has been a significant concern in
(MALAYSIA) Malaysian cities.
PESTLE
ANALYSIS
(TELECOM
INDUSTRY)
Overall, Celcom-Axiata has a competitive advantage in terms of 4
PESTLE
aspects of PESTLE, namely political, technology, environmental
and legal. Nonetheless, Celcom-Axiata has lost its competitive
advantage over its competitors in terms of economic and
ANALYSIS
sociocultural. Thus the company may improve in these two
aspects.
(TELECOM
INDUSTRY)
PORTER'S 5
FORCES
ANALYSIS
PORTER'S 5
FORCES
ANALYSIS Overall, based on the previous data collected by Nazim (2021) it
shows that Axiata Group Berhad are currently at disadvantages in
bargaining power of subscribers and competitive rivalry.
SWOT PESTLE
QUALITATIVE WORTH WORTH
Judgement
Trading at a bargain price compared to its peers,
the company has excellent prospects to PORTER'S 5 OVERALL
monetising its multiple businesses
With recent merger with DIGI for Malaysian FORCES
market, the future look optimistic.
In the long run, the merger should generate
business synergy via its enlarged scale, savings
NOT WORTH WORTH
on capex and procurements as well as cost
optimizations.
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