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Nippon Telegraph and Telephone Corporation (NTT) SWOT & PESTLE Analysis

ID : 5284753| Sep 2018

COMPANY PROFILE -Nippon Telegraph and Telephone Corporation (NTT)

Business Sector :Telecom

Operating Geography :Asia, Japan, Global

About Nippon Telegraph and Telephone Corporation (NTT) :

The Nippon Telegraph and Telephone Corporation commonly known as NTT, is a Japanese telecommunications company headquartered in Tokyo, Japan. It is ranked 65th in Fortune Global 500 and has 241,593 employees.

Nippon Telegraph and Telephone Corporation (NTT) Revenue :

11,541.0 billion yen – FY ending March 2016

Competitive Analysis of Nippon Telegraph and Telephone Corporation (NTT)

SWOT
PESTLE
The SWOT analysis for Nippon Tel & Tel (NTT) is presented below:
Strengths
Weaknesses
1. Diversified business portfolio
2. Collaboration and partnerships
1. Highly dependent on Japanese market
2. Social and cyber issues
Opportunities
Threats
1. Overseas business
2. Next generation network
1. Intense competition
2. Changing trends and advancing transformation
3. Natural disasters
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Detailed SWOT Analysis of Nippon Telegraph and Telephone Corporation (NTT)

Strength

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Weakness

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Opportunity

1. Overseas business expansion: In addition to strengthening the competitiveness and profitability in domestic network services, NTT need to focus towards overseas businesses and look it as a growth pillar and turn it into the profit generation phase.

2. Next generation network: Growth can be targeted in future earnings by leveraging initiatives related to the Tokyo 2020 Olympic and Paralympics Games and also from initiative of “Revitalization of Local Economies”, which is being aggressively advanced by the Japanese government in regions throughout Japan. This can be done by acting as a catalyst that promotes collaboration among various regions and industries and transiting the business model to the B2B2X model for the creation of new value-added services together with the partners. The “X” in this model refers to a wide range of parties, which includes not only individual customers but also companies.

Threat

1. Intense Competition: NTT Group faces competition in almost all aspects of its business which include the regional, long distance and international communications business, mobile communications and data communications business segments. As a result of acquisitions and partnerships among the competitor companies, competition has intensified in the communication industry offering both fixed-line communications services and mobile communications services.

2. Changing trends and advancing transformation: Changes in the environment have substantially altered their position as a telecommunications operator. Earlier, telecommunications operators followed an integrated approach to provide infrastructure and services, but today a diverse range of players have entered the market some of which include over-the top (OTT) businesses like YouTube and Facebook, and they are using their infrastructure to provide services that leverage their strengths. It is no longer an age in which telecommunication operators provide all services on their own and are the main players and, rather they are just one of them in the bigger picture.

3. Threats from natural disasters: NTT being based in Japan and highly dependence on the domestic market, high risks are involved at the times when Japan is hit by natural disasters. NTT has built a reliable network to withstand natural disasters, however in the event of earthquakes or tsunamis exceeding the tolerance limits it may cause major damage to company’s infrastructure causing disruption of services.

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Nippon Telegraph and Telephone Corporation SWOT and PESTLE analysis has been conducted by Nikita Dhar and reviewed by senior analysts from Barakaat Consulting

Copyright of Nippon Telegraph and Telephone Corporation SWOT and PESTLE Analysis is the property of Barakaat Consulting. Please refer to the Terms and Conditions and Disclaimer for usage guidelines.

Nippon Telegraph and Telephone Corporation (NTT) SWOT & PESTLE Analysis
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