Pestle and Swot Analysis of China Mobile 2018

By: Patricia Nanjekhe

China Mobile is an investment holding company engaged in telecommunications and related businesses such as mobile businesses which offer voice, roaming and data services, wireline broadline businesses and Internet of Things. China’s telecom market is a prominent oligopoly with China Mobile accounting for over 80% of all net profit in China’s telecom market (Yoo 2017) China Mobile has over 887million customers (Statista 2018) with competitors China Unicom and China Telecom having 284.16million and 249.96million customers respectively. It accounts for 70% of China’s telecom market. Various external factors have hindered the growth of China Mobile and by using a pestle analysis, we realize how the political factors like Trump’s order to block China Mobile from operating in the US affects its profitability, the effect of unemployment on China Mobile. In addition, we look at how developments in technology and demographics like increase of consumers using smartphones can favor further growth of China Mobile. Using the swot analysis, we note major growth opportunities for China Mobile.

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