Pestel Analysis for Telecommunications Industry
PESTEL Analysis for Telecommunications IndustryA battle for and against net neutrality is raging. Customers believe internet and data should be treated the same by service providers and the government. Net neutrality would prevent, for example, service providers from throttling internet and data speeds.  Use of emerging digitalization in the future will assist with validation of investment expense.  Indulge more in the political arena to gain favor of the right people to guide laws. Expenses affect the pricing per plan offered to customers it’s expensive to build towers and resources in rural areas. Seek government subsidies to mitigate the costs. As more houses are built, the need for telecommunication resources increase. This can drive prices (plus revenue) up depending on location, the number of customers in an area, and the need for telecommunication services. Customers in those areas are left with less than a handful of options when it comes to buying internet, mobile, and television packages.
Telecommunication corporations in charge of both internet and mobile carriers. Customers need these packages to communicate with friends, partake in social media challenges, buy products online, find stable careers and more. Telecommunication has become a vastly important aspect of the daily life of the average person. Basic needs in smartphones, like voicemail, caller ID, and messaging are covered. A strong focus on internet access on the go, like mobile data. The telecommunication industry is often impacted by legislation issues. Particularly issues with the government, monopolies, and customers. But the industry has allowed importing and exporting of telecom products (international smartphones, for example). Allowing more development in telecom tech devices. Climate changes and global warming can affect how telecommunication products reach customers. In terms of employment, with technology advancing, employees need to adapt to changes.POLITICALECONOMICTelecommunication companies make direct contributions to political connections totally $101 million to congress alone. (Politics)Participate in trade association memberships and related engagements.Changes in rules and regulations affecting public companies in USA.Increasing penetration of technology has led to preference changes resulting in decreasing revenues.Trend in stock price depreciations after acquisitions.SOCIALTECHNOLOGICALTelecommunication companies appeal to the masses for internet services 61%. (Strover)Services provided allow for social connectivity to social media.Adapts to recent trend and technological changes.Innovative technological solutions change the dynamics in the IT sector as well.ENVIRONMENTALLEGALConscious efforts to ensure environmental sustainability.Recycling and disaster management have reduced carbon emissions.Non-compliance to FCC requirements can cause substantial damage. $25 million to AT&T in 2015. (Hughes)Regulatory risk and compliance costs increase overseas operations.Liability for the material that content providers distribute of network.Works CitedHughes, J. Trevor. www.techcrunch.com. 16 4 2015. 2018.Politics, T.C. Scottek and The Center for Responsive. www.theverge.com. 11 12 2017. 2018.Strover, Sharon. theocnversation.com. 16 1 2018. 2018.