Telecommunications Business Plan

The telecommunications revolution has arrived: Personal communications and unified messaging systems are at the vanguard of this technological phenomenon. From 1984’s deregulation of long and local telephone service, the competition has increased and sought every nook or corner of telecom products for both consumers (and businesses). Only 15 years ago, consumers had to use a fixed telephone number to communicate with the company. Mobile and cellular phones are now ubiquitous to provide communication at any time, anywhere in the globe. Companies that do not anticipate change or keep up are quickly consigned to financial and technological death – Iridium being the latest example. As the final arbiter in a marketplace, financial muscle has been replaced by quality and depth management and speedy execution. AT&T realized this, and hired a technology-savvy CEO. Iridium was unable to pull the trigger and paid the price.

TeleSpace is poised to be the market leader for personal communications and unified messaging. The consumer and business now have telecommunications mobility, with many phone and fax numbers as well as pagers and email. They are looking for simplicity and speed. A single identifier to help them find their business and personal lives and get their communications. They want and need MyLine.

MyLine has been operating for over five years. The company has a loyal but small core of customers. The technology is clean, elegant and maintainable. The system contains a number of complex features, some crucial, and some not. MyLine’s limited success is due to the way it was designed and promoted. The early TV ads featured a pocket knife with a corkscrew and screwdrivers. It was twice the weight it should have and came with instructions. Before the product was even opened, customers knew that they were in trouble.

MyLine has the answer! Our internal market research shows what the customer wants. There are five primary market segments. I will focus on three. MyLine will reach the customer wherever they are on earth. The Soccer/Sports Mom is also available, and can often be reached by 800 MyLine. For personal or professional use, the military market offers a lot of potential. They are looking for reliable, secure, and confidential communications. MyLine makes it easy to enlist.

The overall telecommunications market is huge, well over $200 billion. The personal communications and unified messaging sub-industry, with its hundreds of millions of actual/potential users, is difficult to quantify at this stage. Management estimates that projected sales of about $40 million in the third year, with sales running at the rate of $5 million per month by the end of that year, would still be only approximately a one percent market share. The market leader would require a 5- to 10-percent market share. Management plans to achieve this within five years.

1.1 Objectives

TeleSpace’s main corporate objectives are:

• In five years, be the market leader in personal communication and unified messaging services.
• To become the lowest priced provider and implement aggressive pricing models throughout the industry.
• To offer the best and most responsive customer services by Year-end Year 1.

1.2 Mission

MyLine is already the most technologically-superior personal communications system in the world. TeleSpace management plans to capitalize on MyLine’s brand, technical reputation, and become the market leader within personal and business communication systems and unified message systems within five year.

1.3 Keys To Success

TeleSpace is a success story.

1. Marketing must generate sufficient sales volume to drive an aggressive pricing model while still achieving planned profitability projections.
2. Private label MyLine must be promoted through their distribution channels by strategic partners.
3. Equity capital must have a fair valuation