1. Group 3 Cho-Hsun Yang, Zih-Fen Wang 2012.11.13 Adviser: Kuang-Chiu Huang

2. Outline  Background  Vision & Mission  Strategy Analysis - Success Strategies - Failure Strategies  IFE Analysis  Q&A

3. Background 19061990199519961999 Alberta Government Telephones found AGT privatized AGT acquired Ed Tel Brand name was formally introduced to the public Merged BC Tel

4. Background  Canada's Second Largest Telcom  Main Rivals Bell Rogers  Slogan

5. Background  Main Services  Wireless  Leading networks and devices  Digital voice  Data  Wireline  Voice  Internet  Telus TV  IP networks and applications  Conferencing and collaboration  Contact centre and outsourcing solutions  Hosting and managed IT  Healthcare

6. Vision & Mission  Strategy- Our strategic intent is to unleash the power of the Internet to deliver the best solutions to Canadians at home, in the workplace and on the move.  Value- We embrace change and initiate opportunity We have a passion for growth We have the courage to innovate We believe in spirited teamwork

7. Vision & Mission  Our world is rich with diversity.  At TELUS we believe the diversity of our team is a significant competitive advantage and we value the contribution and worth of each and every team member.  At TELUS International, we enable customer experience innovation through spirited teamwork, agile thinking, and a caring culture that puts customers first.  For Canadians to reduce their environmental impact through the use of communications technology solutions.

8. Strategy Analysis  2008- TELUS enhanced its spectrum position with the $882 million purchase of 59 spectrum licenses across Canada for future 4G wireless data services and customer growth.  Auction- Advanced Wireless Services(AWS) 2 GHz Range

9. Strategy Analysis License Winners Total Amount of Winnings Bids Total Number of Winning Bids Total Population Covered by Bids Rogers$999,367,0005930,007,094 TELUS$879,889,0005930,007,094 Bell Mobility$740,928,0005427,245,106 Lower BandUpper Band Block E1740-1745 MHz2140-2145 MHz Block F1745-1755 MHz2145-2155 MHz

10. Strategy Analysis - Success  2009 Launches nationwide of fastest coast-to-coast HSPA+ network.

11. Strategy Analysis - Success  2010 Launch of Optik brand providing IP-based TV and high speed internet service with Microsoft Mediaroom.

12. Strategy Analysis - Failure  Charging high prices in most services.  Example:  TV  Voice  Tablet Flex Plan

13. Strategy Analysis - Failure TELUSBell Package1Package2Package3Package4Package1Package2Package3 Price $26/ month $65/ month $81/ month $132/ month $29/ month $64/ month $104/ month Channels100(19)210(61)238(72)298(86)157(23)243(46)339 $ Per channel 0.260.3090.340.440.180.260.30  Price comparison - TV

14. Strategy Analysis - Failure  Price comparison - Voice

15. Strategy Analysis - Failure  Price comparison - Tablet Flex Plan

16. Strategy Analysis - Failure  Dividing stockholders‘ share into voting and non-voting classes.

17. IFE Analysis

18. WeightRatingWeighted Score Internal Strengths 1.Wide Service coverage 2.Continuing Telus TV growth rate 3.Maintain Market Leadership 4.Strong Customer Base 5.Strong Management Team 6.Excellent Marketing Capacity 7. Comprehensive Services Portfolio through IDEN & HSPA+ networks 8. Business Diversification Internal Weaknesses 1. High service charge 2.Declined Performance of Wire-line Segment 3.Declining Liquidity 4. More complaints of poor service Total Weighted Score Unsuitable factor Rating between 3 & 4 for internal strength factors It could be an external factor & internal factor Ambiguous factor Rating between 3 & 4 for internal weakness factors

19. EFE Analysis

20. WeightRatingWeighted Score Opportunities Increasing mobile data market Growing smart phone market Growing IP-based TV market Oversea investment in new emerging nations Opening Canada's Doors to Foreign Investment in Telecommunications Technology innovation with lower operating cost Trend of globalization for telecom industry Threats Regulation about number portability execution causing loss of customers Regulatory changes from government in fixed line Competitive pressures from market leader Disengagement from the changing customer mindset Uncertainty of new technology deployment Decreasing voice demand for 3G service Unsuitable factor