Strategy Development for Wireless Group
Client Problem
- A communication industry group faced with competitive threats to their core business needed to evaluate options
- How to grow revenue
- Protect and leverage their core business
- React to economic shifts due to technology
Project Objectives
- Develop a strategy for entering the U.S. PCS market - critical issue was viability of PCS business
- Understand demand for wireless service in terms of product offering and penetration potential
- Research potential cost structures
- Identify key economic leverage points
- Model total integrated economics of attractive options
- Propose strategy that represented highest odds for success
- Identify potential partners that complemented clients' skills and needs
Approach
- Structured market research and synthesized results into strategic options
- Performed original research on new and future infrastructure costs
- Modeled integrated economics
- Identified key issues driving success and parameters of strategic options
- Developed optimal strategy including identification of potential partners, attractive geographies, and desired business model
- Participated in negotiations with several potential partners which resulted in an operating JV
Results
- JV has been established and partners have committed in excess of $3B towards development of the business
- Currently active in bids for PCS licenses
- Operational organization in process of being staffed
- Infrastructure development
- Marketing and sales force
- Administrative staff
Project Time Frame and Resources
- Time frame was 11 months over two phases
- Project team consisted of 11 professionals for Phase I and 6 professionals for Phase II
