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China Unicom Ltd. (SWOT Analysis)

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“SWOT is an acronym for the internal Strengths and Weaknesses of a firm and the environmental Opportunities and Threats facing that firm. SWOT analysis is a widely used technique through which managers create a quick overview of a company’s strategic situation. The technique is based on the assumption that an effective strategy derives from a sound “fit” between a firm’s internal resources (strengths and weaknesses) and its external situation (opportunities and threats). A good fit maximizes a firm’s strengths and opportunities and minimizes its weaknesses and threats. Accurately applied, this simple assumption has powerful implications for the design of a successful strategy.”

China Unicom Ltd.

China Unicom is an integrated telecommunications operator in China. The company is offering a range of telecommunications services which include cellular, international and domestic long distance, data and internet services. The company offers nation-wide cellular communications services using global system for mobile communications (GSM) standard in China. The company primarily operates in the China. It is headquartered in Hong Kong City, Hong Kong and employs about 56,900 people.

Strengths, Weaknesses, Opportunities and Threats (SWOT)

Location of Factor

TYPE OF FACTOR

Favorable

Unfavorable

Internal

Strengths

  • Strong market position
  • Robust nationwide infrastructure
  • Strong financial performance

Weaknesses

  • Poor performance of the data and internet segment
  • Confined overseas presence

External

Opportunities

  • Accelerating demand for Mobile TV
  • Asian mobile phones market
  • Growing demand for data cable services

Threats

  • Intense competition
  • Limited spectrum allocation
  • Stringent government regulations
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