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Business Structure Telstra is Australias leading fully integrated telecommunications and information services company Telstras organizational structure consists of Telstra Retail Telstra Mobile Telstra Country Wide Telstra Wholesale Telstra International infrastructure Services and Network and Technology Group They offer a range of services from landline telephony to complex mobile services to high speed broadband As required by the legislation the Federal government remains 501 majority shareholders However the majority of the market shares are concentrated on several key market competitors Rivalry among existing firms The telecommunication market is growing in a decreasing rate in the last few years due to competition increment after the industrys deregulation in July 1997 Major competitors of Telstra are Optus Primus AAPT Orange and Vodafone but Telstra still maintains its dominant position in the telecommunication market With the diminishing growth in the Australias telecommunication industry Telstra has expanded its business in other potential market in Asia-Pacific regions particularly in Hong Kong The national long distance and international call and mobile telephony service are the segments most intensively compete in the market However Telstra still capture a market share greatly over the competitors Telstra Optus and Vodafone each operate separate GSM mobile networks capturing the market share of around 57 31 and 11 respectively as of 2002 Bargain power of supplier Telstra is the largest network and services supplier in the market as well as a supplier to its because its control of network capacity and large share of customer base It has overwhelming dominance across the telecommunications market and in almost every segment of that market Its wholesale share of land-based market is 941 including basic access lines resold by its competitors ACCC report Telstras dominant market position remains stable as most of carriers are generally reliant upon leasing network capacity from Telstra Other service providers dependecy allows Telstra to have significant influence over the cost of its competitors in all markets where access to the
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