Market Position and Power
Since the Australian telecommunications industry was deregulated in the early 1990s, Telstra has managed to remain the largest provider of telecommunications services despite the emergence of its rival, Optus. Telstra found a strategy of offering lower rates on some routes and at certain times of day, even though its prices, on average, were higher than its rival's was more likely to prevent consumers from switching. Ultimately, Telstra was able to retain several points of market share it otherwise would have lost.
Telstra's market dominance extends beyond its historical PSTN voice and private data business, into newer markets such as Internet Access, Hosting, and Colocation services. Despite competition from both foreign and domestic challengers, the former PTT is perceived to have retained a strong grip on many of the country's most profitable customers.
Optus remains the company's nearest rival for business networks, however, Telstra supplies almost twice as many customers in the ASX200 with Dedicated Internet Access services.
In March 2008, all 7 judges in the High Court of Australia, the highest court of appeal in Australia, ruled that Telstra has the right to use the telephone lines, but does not own them.
Read more about this topic: Telstra
Famous quotes containing the words market, position and/or power:
“Forbede us thing, and that desiren we;
Preesse on us faste, and thanne wol we flee.
With daunger oute we al oure chaffare:
Greet prees at market maketh dere ware,
And too greet chepe is holden at litel pris.”
—Geoffrey Chaucer (1340?–1400)
“One reason—perhaps the chief—of the virility of the Roosevelts is [their] very democratic spirit. They have never felt that because they were born in a good position they could put their hands in their pockets and succeed. They have felt, rather, that being born in a good position, there is no excuse for them if they did not do their duty by the community.”
—Franklin D. Roosevelt (1882–1945)
“To the excessively fearful the chief characteristic of power is its arbitrariness. Man had to gain enormously in confidence before he could conceive an all-powerful God who obeys his own laws.”
—Eric Hoffer (1902–1983)