This document analyzes DiGi's strategic position in the Malaysian telecommunications industry using Porter's Five Forces framework. It examines the threat of new entrants, bargaining power of suppliers and customers, threat of substitutes, and competitive rivalry among existing firms. DiGi faces moderate threats from new entrants and substitutes due to strong competition from established players like Celcom and Maxis. Supplier and customer bargaining power is balanced by DiGi's large portfolio of devices and service offerings. Competitive rivalry in the industry is high as the top players aggressively compete for market share.

1. ASSALAMU’ALAIKUM
INFORMATION TECHNOLOGY MANAGEMENT
PORTER’S 5 FORCES ANALYSIS
CASE STUDY : DiGi
Disajikan Oleh :
RAHMAD KURNIAWAN
P68500

2. Contents
1. Threat of entry of new competitors
2. Bargaining power of suppliers
3. Bargaining power of customers or
buyers
4. Threat of substitute products or
services
5. Competitive rivalry among existing
firms in the industry
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3. Porter’s 5 Forces Analysis
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4. Digi Strategic Position
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5. About Company
 May, 24th 1995 Founded
 DiGi is a leading mobile communications
company providing a comprehensive range
of affordable, convenient and easy to use
wireless services to simplify and enrich the
lives of its customers.
 Mission:
DiGi is driven to engage you, and we are
here to be a part of your lives. Whoever you
are, wherever you go and whatever your
needs may be, we’re here for you!
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6. Products And Figures
 CallerTunes™
 DiGi Internet™
 DiGi Business
 DiGiLIVE
 Developer Network
 DiGi Games
 DiGi Insurance
 International Services
 Competitor:Telekom Malaysia, Maxis
Communications, Celcom, U Mobile, so on
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7. Cont...
New Entrants
Threat of new entrants
Bargaining power of the suppliers
Existing
Supplier rivalry in the Customer
industry
Bargaining power of buyers
Substitute products & services
Substitutes
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8. Threat of entry of new competitors
 Seeing provider competition in Malaysia at the moment, it
is difficult to a new telecommunications provider to
compete with the telecommunications provider that has
long existed beforehand and already have many customers
who use it.
 The biggest challenge is to find a new provider of
telecommunications market in accordance with the
company's target market and looking for new customers to
use their provider.
 In addition to the new provider also has other challenges
that such price competition between providers in Malaysia
are tight. It made the newcomer provider must continue to
innovate in the development, diversification of its products
and strengthen its brand name. Under these conditions the
above opportunity provider newcomers to enter the still
low.
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9. Cost Comparison of Broadband Internet Service in
Malaysia Year 2011
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10. Bargaining power of suppliers
 Digi has been working with most popular diveces such
as iPhone 5, Samsung GALAXY Note II, Samsung
GALAXY SIII, Nokia Lumia 920, Nexus 4 by LG, iPad
mini and so on.
 DiGi and mobile content provider WhatsApp have
teamed up in October 2012 to offer unlimited access to
WhatsApp Messenger services. The package will allow
customers to connect with family and friends through
messaging, location-based functions and sharing
photos, videos, sound files and contact lists.
 DiGi added 10 new roaming outlets to its portfolio of
networks in August 2012. The operator added
Macau, Pakistan, Bangladesh, New
Zealand, Poland, Slovakia, Hungary, Serbia, Spain and
Brazil to its current list of networks. The operator's
TravelSure Unlimited Roaming service will allow
subscribers to access services with internet roaming
rates in more than 40 countries.
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11. Bargaining power of customers or buyers
 Consumers may reduce spending on computers
and mobile if they fear economic downturns
(Consumer Attitudes & Behaviors)
 Consumers have the opportunity or strength to
use a variety of existing telecommunications
provider in Malaysia. Today's consumer is faced
by a number of attractive offers such features
and rates given provider in Malaysia.
Therefore, to attract and retain customers, DiGi
continues to deliver offerings that attract
customers.
 Various DiGi promotion can be seen in:
http://www.digi.com.my/whatshot_v3/land
ng.do
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12. Threat of substitute products or services
 Some providers are there in Malaysia have similar
replacement product such as Celcom, Maxis, Telekom
Malaysia and each competitor has an attractive offer
consumers if the network is now less than satisfactory.
 Other provider opportunities to replace DiGi as a
provider of telecommunications networks still exist, but
the closest competitor u mobile and YES are superior in
terms of price competitive on broadband service, so this
is a threat in terms of tariff competition.
 And YES is the brand name of YTL Corporation's foray
into the telecommunications industry in Malaysia. YES
promises to be the fastest 4G internet with voice and is
set for commercial launch on the 19th of November
2010. YES claims to have speeds of 3 to 5 times faster
than current 3G networks.
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13. Competitive rivalry among existing firms
in the industry
Market leader: Celcom
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14. Industry Trends - Mobile ARPU(MYR) 2010-2017
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15. Cont..
Wireless Market Leader: Maxis
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16. Overall Analysis
Telecomunication sector is one of the
fastest growing sectors. This is due to
strong competition that has brought
down tariffs and simplification of
policy environment that has promoted
healthy competition amongst various
players
DiGi has many competitors like
Telekom Malaysia, Celcom, Maxis and
some entrants like u mobile, YES and
so on.
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17. References
www.businessmonitor.com
http://www.digi.com.my/whatshot_v
3/landing.do
http://www.digi.com.my
http://en.wikipedia.org/wiki/Yes_4G
http://joshuaongys.com/2011/07/co
st-comparison-broadband-internet-
service-malaysia-2011-soyacincau/
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18. Thank you
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