INTRODUCTION

Mobilink GSM (PMCL), a subsidiary of Orascom Telecom is the market leader in providing state-of-the-art communications solutions in Pakistan. Orascom Telecom Holding S.A.E (OTH), the parent company based in Egypt was established in 1998, and has grown to become the largest and most diversified GSM network operator in the Middle East, Africa, and Pakistan. With over ten licenses covering the region, Orascom Telecom has positioned itself as a leading telecommunications conglomerate in emerging markets of this region. Orascom enter in the Pakistani market through the licensing where they have to pay the Royalty fee. Mobilink covers approximately 85 percent of Pakistan's urban population and it can proudly boast of being the first cellular service provider in Pakistan to operate on a 100% digital GSM technology. It offers tariff plans that are exclusively designed to cater to the communication needs of a diverse group of people, taking into account occasional users to businessmen. To achieve this objective, Mobilink offers both postpaid (Indigo) and the prepaid (JAZZ) solutions to its customers. In addition to providing advanced voice communication services, Mobilink also offers a number of value added services to its valued subscribers. Keeping in mind its customers' convenience, Mobilink has also bundled mobile handsets, sold either independently or bundled in Get Set Go Pack. Mobilink GSM started operations in the year 1994,as a third entrant in the market, while Paktel and Instaphone were already operating since 1991 and had acquired substantial market penetration. Despite the re-launch of Ufone, the main competitor, Mobilink has maintained its momentum of growth. All this has been possible due to inter-departmental synergy and strengthening of Mobilinks brands. Till early 2001, they had a market share of 43%. OT took over management control of the company in April 2001 and changed the overall market dynamics through its aggressive marketing strategy and expertise. In less than two years time Mobilink grew by almost 400% with market leadership of 60% market share (year end 2003).At the time when it entered 1

the market it was a small player in the cellular market of Pakistan it is now the market leader both in terms of growth as well as having the largest subscriber base in Pakistan.

MANAGEMENT
Mobilink has a very competitive management. The names of the Top Management are given below. Zouhair Abdul Khaliq, President and CEO Ehab Rochdy, Chief Finance Officer Tariq Rashid, Chief Information Officer Rashid khan, Chief Commercial Officer Marwan Hayek, Chief Technical Officer Ali Raza Mehdi, Vice President Administration & Human Resources

MISSION STATEMENT
Here are Mission statements of both organizations i.e. parent company and subsidry.

Orascom Telecom
Our mission is to be the premiere telecom operator in the Middle East, Africa, and Indian sub-continent, providing the best quality services to our customers, value to our shareholders, and a dynamic working environment for our employees.

Mobilink GSM
To provide unparallel services while making sure to satisfy all stake holders

PRODUCTS AND SERVICES

Mobilink being the market leader enjoys major share of the overall market with both Indigo and Jazz dominating the postpaid and prepaid segments respectively Mobilink deals with postpaid Indigo and prepaid (Jazz) packages. 2

JAZZ Addressing the press conference, Graham Burke, president Pakistan Mobilink Corporation Limited said that with the prepaid card a customer could control its cost with the freedom to use. This is when Jazz was first launched in Pakistan, and with the passage of time became very popular, especially among the young lot. Jazz, is based on an intelligent network which is the most advanced and expensive platform, presently available in cellular telephone technology. Scores of facilities available in the package will cater to the communication needs of thousands of people in the country who cannot afford a post paid mobile phone connection. Jazz is an amazing prepaid service that allows customer freedom from monthly bills and gives him/her complete control over his/her cellular expenditure. Customer decides in advance when and how much he/she wants to spend. Jazz is simple, easy and loads of fun. Jazz is extremely affordable, with features like: No daily charges Low outgoing rates 180 days validity of Jazz Scratch Cards Simply reactivate deactivated Jazz connection

Jazz-Aur Sunao 3

Jazz tariffs have been reduced from Rs. 4.75 per minute to Rs. 3.50 per minute on all calls from Jazz to any other Mobilink numbers. This tariff reduction will serve as an unparalleled advantage to the largest mobile community in Pakistan, who will now have to pay less to call within the Mobilink family, 24 hours a day. Jazz Member get Member The Jazz Member get Member promo is the first of its kind where Mobilink will be giving its customers an opportunity to become the brands ambassadors and at the same time earn some free airtime. The essence of the campaign is that an Existing Jazz customer can refer up to 4 new customers and earn Rs.400 in airtime. The new Jazz customer will also get Rs. 100 free airtime. INDIGO

STRATEGIC MANAGEMENT
Art and science of formulating, implementing, and evaluating cross-functional decisions that enable an organization to achieve its objective.

STAGES OF STRATEGIC MANAGEMENT

There are three stages involved in strategic management process. STRATEGY FORMULATION STRATEGY IMPLEMENTATION STRATEGY EVALUATION

STRATEGY FORMULATION Strategy formulation includes developing a business mission, identifying an organization external opportunities and threats, determining internal strength and weaknesses, establishing long-term objective, generating alternative strategies, and choosing particular strategies to pursue. Strategists must decide which alternative strategies will benefit the firm most. Strategyformulation decision commits an organization to specific products, markets, resources, and technologies over an extended period of time. Strategies determine long-term competitive advantages. Top managers have the best perspective to understand fully the ramifications of formulation decision; they have the authority to commit the resources necessary for implementation. STRATEGY IMPLEMENTATION Strategy implementation requires a firm to establish annual objectives, devise policies, motivate employees, and allocate resources so that formulated strategies can be executed; strategy implementation includes developing a strategy-supportive culture, creating an effective organizational structure, redirecting marketing efforts, preparing budgets, developing and utilizing information system, and linking employee compensation to organizational performance. 5

Strategy implementation often is called action stage of strategic management. Strategy implementation requires personal discipline, commitment, and sacrifice, success full strategy implementation hinges upon managers ability to motivate employee. Interpersonal skills are especially critical to success full strategy implementation. Every division and department must decide on answers to questions such as What must we do to implement over part of the organizations strategy? and How best can we get the job done? STRATEGY EVALUATION Strategy evaluation is the final stage in strategic management, because external and internal factors are constantly changing. Three fundamental strategy-evaluation activities are Reviewing external and internal factor that are bases for current strategies Measuring performance Taking corrective action

Strategy evaluation is needed because success today is no guarantee of success tomorrow success always creates new and different problems; complacent organization experience demise. Strategy formulation, implementation, and evaluation activities occur at three hierarchical levels in large organization: corporate, divisional or strategic business unit, and functional. By fostering communication and interaction among managers and employees across hierarchical levels, Strategic management helps a firm function as a competitive team. Nevertheless, managers and employees at these two levels should be actively involved in strategic management activities.

COMPONENTES OF A MISSION STATEMENT

Mission statement can and do very in length, content, format, and specificity. Most practitioners and academicians of strategic management consider an effective statement to exhibit nine characteristics or components. Because a mission statement is often the most visible and public part of the strategic-management process, it is important that is includes all of these essential components. Components and corresponding question that a mission statement should answer are given here, CUSTOMERS Who are the firms customers? PRODUCTS OR SERVICES What are the firms major products or services? MARKETS Geographically, where does the firm compete? TECHNOLOGY Is the firm technology current? CONCERN FOR SURVIVAL, GROWTH, AND PROFITABILITY Is the firm committed to growth and financial soundness? PHILOSOPHY What are the basic beliefs, values, aspirations, and ethical priorities of the firm? SELF-CONCEPT What are the firms distinctive competence or major competitive advantage? CONCERN FOR PUBLIC IMAGE Is the firm responsive to social, community, and environmental concerns? 7

CONCERN FOR EMPLOYEES Are employees a valuable asset of the firm?

MOBILINKS MISSION STAEMENT ALONG WITH ITS COMPONENTS

To provide unparallel services while making sure to satisfy all stake holders

THE NATURE OF AN EXTERNAL AUDIT THE NATURE OF AN EX

The purpose of an external audits us to develop a finite list of opportunities that could benefit and threats that should be avoid. Firms should be able to respond either offensively or defensively to the factor by formulating strategic that take advantage of external opportunities or that minimize the impact of potential threats.

KEY EXTERNAL FORCES

External forces can be divided into five board categories Economic forces Social, cultural, demographic, and environmental forces Political, governmental, and legal forces Technological forces Competitive forces.

THE PROCESS OF PERFORMING AN EXTERNAL AUDIT

To perform an external audit, a company first gathers competitive intelligence and information about social, cultural, demographic, environmental, economic, political, legal, governmental, and technological trends. Individuals can be asked to monitor various sources of information such as key magazines, trade journals, and newspaper. These persons can submit periodic scanning reports as a commit of managers charged with performing the external audit. Once information is gathered, it should be assimilated and evaluated. A meeting or series of meeting of up to 20 managers needed to collective identify the most important opportunities and threats facing the firm. A prioritized list of these factors could be obtained. Critical success factors can very over time and by industry. Critical success factors should be Important to achieving long-term and annual objective Measurable Relatively few in number Applicable to all competing firms Hierarchical in the sense that some will pertain to the overall company and others will be more narrowly focused on functional or divisional areas.

ECONOMIC FORCES
Economic factors have a direct impact on the attractiveness of various strategic. For example, if interest rates rise, then fund needed for capital expansion become more costly or unavailable, also, interest rates rise, discretionary income declines, and the demand for discretionary goods falls. As stock prices increases, the desirability of equity as a source of capital for market development increases. Also, as the market rises, consumer and business wealth expand.

SOCIAL, CULTURAL, DEMOGRAPHIC, AND ENVIRONMENTAL FORCES

Social, cultural, demographic, and environmental changes have a major impact upon virtually all products, services, markets, and customers, small, large, for-profit and nonprofit organizations in all industries are being staggered and challenged by the opportunities and threats arising from changes in social, cultural, demographic, and environmental variables.

POLITICAL, GOVERNMENTAL AND LEGAL FORCES

Federal, state, local, and foreign governments are major regulators, deregulators, subsidizers, employers, and customers of organizations. Political, governmental, and legal factors therefore can represent key opportunities or threats for both small and large organization. For industries and firms that depend heavily on government contracts or subsidies, political forecasts can be the most important part of an external audit. Changes in patent laws, antitrust legislation, tax rates, and lobbying activities can affect firms significantly.

TECHNOLOGICAL FORCES
Revolutionary technological changes and discoveries such as superconductivity, computer engineering, thinking computers, robotics, unsafe factories, miracle drugs, space communication, space manufacturing, lasers, cloning, satellite, networks, fiber optics, biometrics, and electronic funds transfer are having a dramatic impact on organization. Superconductivity advancement alone, Which increase the power of electrical products by lowering resistance to current, are revolutionizing business operations, especially in the transportation, utility, health care, electrical, and computers industries.

KEY EXTERNAL FORCES AFFECTING MOBILINK

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Economic Environment
The income level of our people varies greatly, so Mobilink GSM has paid attention to the income levels of the people of Pakistan and introduced different packages for each. On a larger scale, the economic environment is unstable and money is distributed unevenly among the masses.

Technological Environment
Mobilink GSM is aware of its technological environment. Currently, a lot of attention is being given to information and cellular technology by the government. Therefore the technical environment of Pakistan does not really pose a threat for Mobilink. With the increasing usage of the Internet, Mobilink is focusing on the integration of the Internet with its cellular offering, which will result in increased efficiency and effectiveness of cellular communication. People have also become more health conscious. Recently, an issue has arisen that radiation from mobile handsets damages the brain. This poses a threat for the mobile industry.

Political environment
The political environment has, does and will effect Mobilinks functioning in Pakistan. This is because the government of Pakistan does not allow purely foreign ventures (of all industries) here and that is why Mobilink GSM, a venture of the Orascom Telecom group, had to settle with a partnership with local organizations here. Other than this policy of the Government of Pakistan, its a risk for foreign companies to invest in Pakistan because of the unstable economy and changing governments.

Demographic Cultural and Social Environment

The population of Pakistan is increasing rapidly. Growing population means growing human communication needs to satisfy and this means increasing market opportunities for Mobilink GSM. The main target customers for JAZZ are young people

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from ages 19 above and 30 below. These people include students and yuppies (young urban professionals). Connectivity is the need of the hour. People are moving in an age of connectivity. Information technology is shaping up our societys perceptions, preferences and behaviors. Our cultural environment is highly affected by this advancement. Today every body wants to be up-to-date. Mobile communication is quenching this thirst and Mobilink GSM is the market leader in its territory. The mobile phone has become so much of a part of our culture that a professional and a non-professional alike, cannot do without one. Instead of our culture shaping the wants of its people, the want is starting to shape our culture. Therefore it would be wrong to say that the Pakistani cultural environment is hostile to changes, especially to this technological change.

The religious environmental pressures/trends are critical areas, which need to look into while promoting sales of a particular product as these aspects are generally ignored, which can eventually undermine the success of sales and promotion efforts. Mobilink also has been a victim of such problems. Mobilink also had a few problems while its promotional activities. As happened with the bill board of jazz, portraying the famous Pakistani model/actress, Zara sheikh, trying to promote Jazz. One of such boards was burnt to ashes by activists of a religious group as according to them she portrayed in an improper dress.

Mobilink should have taken in account these religious values, as ours is a conservative society, thats why Mobilink should see what are the barriers which may create hurdles in advertising and promotion plan.

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COMPETITIVE ANALYSIS

Porter's Five Forces Model

Potential entrants Threat of new entrants Bargaining power of suppliers Suppliers Industry competitors Bargaining power of buyers Rivalry among existing firms Buyers

Threat of substitutes Substitute products

BARRIERS TO ENTRY Absolute cost advantages Proprietary learning curve Access to inputs Government policy Economies of scale Capital requirements 13

 Brand identity Switching costs Access to distribution Expected retaliation Proprietary products THREATS OF SUBSTITUTES Switching costs Buyer propensity to substitute Relative price performance of substitute BUYER POWER Bargaining leverage Buyer volume Buyer information Brand identity Price sensitivity Threat of backward integration Product differentiation Buyer concentration vs. industry Substitutes available Buyers' incentives SUPPLIER POWER Supplier concentration Importance of volume to supplier Differentiation of inputs 14

 Impact of inputs on cost or differentiation Switching costs of firms in the industry Presence of substitute inputs Threat of forward integration Cost relative to total purchases in industry DEGREE OF RIVALRY Exit barriers Industry growth Industry concentration ratio Fixed costs/Value added Product differentiation Buyers' incentives

PORTER'S FIVE FORCES MODEL IN MOBILE INDUSTRY

Potential entrants Entry of Telenor and Warid

Bargaining power of suppliers Suppliers

Industry competitors Buyers Rivalry among Mobilink and Increasing bargaining power of buyers
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Many substitutes available

Substitute products

INDUDTRYS ANALYSIS THE EXTERNAL EVALUATION (EFE) MATRIX

An external factor evaluation (EFE) matrix allows strategists to summarize and evaluate economic, social, cultural, demographic, environmental, political, Governmental, legal, technological, and competitive information. There are five steps in developing an EFE Matrix List key external factors as identified in the external audit-process. Include a total of from 10 to 20 factors, including both opportunities and threats affecting the firm and its industry. List the opportunities first and then the threats. Be as specific as possible, using percentage, ratios, and comparative numbers whenever possible. Assign to each factor a weight that ranges from 0.0 (not important) to 1.0 (very important). The weight indicates the relative importance of that factor to being successful in the firms industry. Opportunities often receive higher weights then threats, but threats too can receive high receive weights if they are especially severe or threatening. Appropriate weights can be determined by comparing successful with unsuccessful competitors or by discussing the factor and reaching a group consensus. The sum of all weight assigned to factors must equal 1.0.

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Assign a 1-to-4 rating to each critical success factors to indicate how effectively the firms current strategies respond to the factor, where 4 = the response is superior, 3 = the response is above average is average, and 1 = the response is poor, Rating are based on effectiveness of the firms strategies. Ratings are thus company-based, whereas the weights in step 2 are industry-based.

Multiply each factors weight by its rating to determined a weighted score. Sum the weighted scores for each variable to determined the total weighted scores for the organization. Regardless of the number of key opportunities and threats included in an EFE Matrix, the highest possible total weighted score for an organization is 4.0 and the lowest possible total weighted score is 1.0. The average total weighted score is 2.5. A total weighted score of 4.0 indicates that an organization is responding in an outstanding way to existing opportunities and threats in its industry. In others words, the firms strategies effectively take advantage of existing opportunities and minimize the potential adverse effect of external threats. A total score of 1.0 indicate that firms strategies are not capitalizing on opportunities or avoiding external.

THE EXTERNAL EVALUATION (EFE) MATRIX OF MOBILINK

Key external factors have been identified in the external audit-process, including both opportunities and threats affecting the firm and its industry. Each factor has been assigned a weight that ranges from 0.0 (not important) to 1.0 (very important). The weight indicates the relative importance of that factor to being successful in the firms industry. The sum of all weights assigned to factors is equal to1.0. 1-to-4 rating has been assigned to each critical success factors to indicate how effectively the firms current strategies respond to the factor, where 4 = the response is superior, 3 = the response is above average is average, and 1 = the response is poor, Rating are based on effectiveness of the firms strategies.

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Each factors weight has been multiplied by its rating to determined a weighted score. Total weighted scores for the organization has been reached by summing all weighted scores. A total weighted score of indicates that Mobilink is responding in an outstanding way to existing opportunities and threats in its industry. In others words, the firms strategies effectively take advantage of existing opportunities and minimize the potential adverse effect of external threats.

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WEIGHTED KEY EXTERNAL FORCES OPPORTINITIES Mobile market is far below saturation. Pakistans government trying to boost the IT industry; it has a lot of scope here. Area of operations can be expanded Mobile phone has become a part of our culture Facilities with respect of recharging of connection. Growing population and growing needs for communication THREATS New potential entry. PTCL being government owned organization-having monopoly in telecommunication sector. Increased bargaining power of customer. Value added services provided by competitors. Uneven distribution of wealth Unstable economy and changing governments Ignoring religious values while promoting sales through advertisement 3 3 4 2 2 1.00 3 WEIGHTS RATINGS 4 3 SCORES

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TOTAL

1.00

THE COMPETITIVE PROFILE MATRIX

The competitive profile matrix (CPM) identifies a firms major competitor and their particular strengths and weakness in relation to a sample firms strategic position. The weights and total weighted scores in both a CPM and EFE have the same meaning. However, the factors in CPM include both internal and external issues; the rating refers to strength and weakness. There are some important differences between the EFE and CPM. First of all, the critical success factors in a CPM are broader; they do not include specific or factual data and even may focus on internal issues. The critical success factors in a CPM also are not grouped into opportunities and threats as they are in an EFE. In a CPM the ratings and total weighted scores for rival firms can be compared to the sample firm. This comparative analysis provides important internal strategic information.

CPM MATRIX FOR MOBILINK

The competitive profile matrix (CPM) of Mobilink identifies its major competitor and their particular strengths and weakness in relation to firms strategic position. The factors in CPM include both internal and external issues; the rating refers to strength and weakness of three firms Mobilnk, Paktel and Ufone.Here critical success factors in a CPM are broader. Advertisement and price competitiveness are most critical success factors in he industry as indicated by weights. Mobilinks product quality is superior as indicate by rating of 4.Ufone is tha weakest firm receiving a weighted score of 3.55. Paktel is an average firm with weighted score of 3.75 while Mobilnk is highly competitive firm as evidenced by weighted score of 3.6.

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THE COMPETITIVE PROFILE (CPM) MATRIX

PAKTEL
CRITICAL SUC CES S FAC TOR S Advertisement Product quality Price competitiveness Management Financial position Customer loyalty Global expansion Market share TOTAL 0.10 0.15 0.10 0.10 0.05 1.00 4 3 2 1 2 0.4 0.45 0.2 0.1 0.1 2.75 4 4 4 4 4 0.4 0.6 0.4 0.4 0.2 3.6 3 4 2 1 3 0.3 0.6 0.2 0.1 0.15 2.55 0.2 0.20 0.10 4 2 3 0.8 0.4 0.3 3 4 2 0.6 0.8 0.2 2 2 4 0.4 0.4 0.4 WEIGHTS RATING SCORE RATING SCORE RATING SCORE

MOBILINK

UFONE

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BCG MATRIX
Boston Matrix is a well-known tool for the marketing manager. The large US consulting group developed it. It has two controlling aspect namely relative market share (meaning relative to your competition) and market growth. It is based on the observation that a company business unit can be classified into four categories based on relative market share and market growth. Market growth serves as proxy for industry attractiveness and relative market share serves as proxy for competitive advantages. This is simplistic in many ways and the matrix has some understandable limitations that will be considered later. Each cell has its own name as follows. PROBLEM CHILDREN/QUESTION MARK

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These are firms with a low share of a high growth market. They consume resources and generate little in return. They absorb most money as you attempt to increase market share. A question mark has the potential to gain market share and become a star, and eventually a cash cow when market share slows down. If question mark does not succeed in becoming market leader then perhaps after years of cash consumption it will degenerate into dog when market share declines. Question marks must be analyzed carefully in order to determine whether they are worth investment required to gain market share. STARS These are firms that are in high growth markets with a relatively high share of that market. Stars tend to generate high amounts of income. If a star maintains its market share it will become a cash cow, when the market growth rate declines. CASH COWS These are firms with a high share of a slow growth market. Cash Cows generate more than is invested in them. Such business units should be milked extracting the profits

and investing a little cash as possible. Cash cow provides the cash to turn dogs into market leader, to cover administrative cost of the company, to fund research and 23

development, to service the corporate debts, to pay dividends to shareholders. Because cash cow generates relatively stable cash flows its value can be determined with reasonable accuracy by calculating present value of its cash streams using a discounted cash flow analysis. DOGS These are organizations with a low share of a low growth market. These are the canine version of 'real turkeys!'. They do not generate cash for the company, they tend to absorb it. Such businesses are candidate of divestiture. Problems with the Boston Matrix This matrix was widely used but now it has faded its popularity as new and more comprehensive models have been developed. Here are some problems of this matrix. 1. There is an assumption that higher rates of profit are directly related to high rates of market share. This may not always be the case. When Boeing launch a new jet, it may gain a high market share quickly but it still has to cover very high development costs. 2. It is normally applied to Strategic Business Units (SBUs). These are areas of the business rather than products. 3. There is another assumption that SBUs will cooperate. This is not always the case. 4. The main problem is that it oversimplifies a complex set of decision. Be careful. Use the Matrix as a planning tool and always rely on your gut feeling.

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BCG MATRIX IN MOBILE INDUSTRY

Here are four firms, which are differently identified, in mobile industry. STAR Paktel GSM can be recognized as star in mobile industry. Firstly it was a question mark but it has now moved to become a star as it has made heavy sales from its launch till now. So having highest sales volume it is a star. CASH COW Mobilink is no doubt is a cash cow in mobile industry. It is generating more than is invested in it. It is having greatest market share in mobile industry, which is a major feature of cash cow.

STAR CASH COW

QUESTION MARK DOG

DOG Paktel Aims is a dog in mobile industry. It is having a low share market. QUESTION MARK Warid an upcoming Mobile service providing company is question mark for the mobile industry. Its success and failure both are not sure.

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TOWS Matrix
From External Analysis (EFAS)

From Internal Analysis (IFAS) Opportunities: 1. 2. 3. Threats: 1. 2. 3.

Strengths: 1. 2. 3.

Weaknesses: 1. 2. 3.

SO Strategies WO Strategies Use strengths Use Opportunities to overcome weaknesses to take advantage of opportunities WT Strategies Defensive strategies to minimize weaknesses and ST Strategies Take advantage of avoid threats Strengths to Avoid threats

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TOWS MATRIX FOR MOBILINK

From External Analysis (EFAS)

From Internal Analysi -s (IFAS)

STRENGTHS 1.Powerful brand image. 2.Abundant financial resources as it doesnt face government constraints 3.Known as market leader. 4.80% urban coverage 5.First company to introduce the concept of franchise in Pakistan. OPPORTINITIES 1.Mobile market is far below saturation. 2.Pakistans government trying to boost the IT industry; it has a lot of scope here. 3.Area of operations can be expanded 4.Mobile phone has become a part of our culture 5.Facilities with respect of recharging of connection. 6.Growing population and growing needs for communication THREATS 1.New potential entry. 2.PTCL being government owned organization-having monopoly in telecommunication sector. 3.Increased bargaining power of customer. 4.Value added services provided by competitors. 5.Uneven distribution of wealth 6.Unstable economy and changing governments 7.Ignoring religious values while promoting sales through advertisement

WEAKNESSES 1.Usually has a busy network. 2.Dont think about the customers complaints

SO STRATEGIES Forward integration

WO STRATEGIES

ST STRATEGIES

WT STRATEGIES

Market penetration Market development Product development

Joint venture

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SO STRATEGIES Forward integration Mobilink has a very effective and efficient distribution system, which comprises of the following sources: Franchisers/dealers. Service centers. Connects. Shops

Franchisers/dealers They deal with giving connections, billing and also the customer services. They have a certain deal with Mobilink in which these franchisers purchase these connections from Mobilink at a price and hen these franchisers/dealers further sell them. After selling these connections, the franchisers get commission from Mobilink.Thus they earn a profit. Service centers These service centers provide the connections and you can also buy hand sets in these centers. Connects These only provide the connections of Mobilink. ST STRATEGIES Market penetration

Mobilink promotions are through the following sources:

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News papers Television Billboards Pamphlets Public relation programs Word of mouth Sales promotion

Newspapers and Television Mobilink has high advertising budget and it works with renowned and costly directors actors and models in its television ads and also in newspapers. For example Mobilink used Shann, Zara Sheikh, Eiman Ali and Samina Perzada in its advertisements for reference sales. Sales promotion Now a day Mobilink is offering Product development Market penetration WO STRATEGIES Joint venture Government of Pakistan does not allow purely foreign ventures (of all industries) here and that is why Mobilink GSM, a venture of the Orascom Telecom group, had to settle with a partnership with local organizations here. Other than this policy of the Government of Pakistan, its a risk for foreign companies to invest in Pakistan because of the unstable economy and changing governments.

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