Back page (lead), November 28/2008
Story: Charles Benoni Okine, Winneba
THE Vice-President, Alhaji Aliu Mahama, last Wednesday cut the sod for the commencement of work on two major projects totalling €21 million at Winneba in the Central Region.
The projects are a fishing wharf to replace the fish landing site in the town and a district hospital to improve the provision of medical services for the people.
The Vice-President said the fishing wharf project was one of a total of 14 fishing harbours and landing sites, which also included the construction of six cold storage facilities for the people in the fishing communities in the country.
He said each of the harbours and landing sites will ensure calmer waters, have an area for mending nets, a premix fuel depot, cold stores and refrigeration facilities; crèches or day care centres, administration blocks, power stations, fish markets and net storage sheds.
Reports indicate that about 10 per cent of the country’s population is engaged in fishing and fisheries-related activities.
The country’s fish consumption requirement stood at 720,000 metric tonnes as of 2005 as against the total fish supplies of 400,000, leaving a deficit of 320,000.
Against this background, Alhaji Mahama said the government had structured a policy for a more focused attention to the fisheries sector of the economy to promote accelerated and sustainable fisheries aquaculture development as a tool to reduce poverty and enhance foreign exchange earnings.
He said the modernisation and revamping of the fisheries sector of the economy had entailed taking bold steps to introduce the use of fibre glass for the construction of canoes and boats with inboard engines.
Alhaji Mahama said in some fishing communities, lives, canoes and fishing gear had been lost during high tides and stormy weather which occurred during the rainy seasons and reiterated that the harbours and loading sites would be constructed in a way that would calm the tides to ensure safe landing.
He said in order to ensure efficient management of the projects across the country, a Fishing Harbours and Landing Sites Management Authority as well as a Cold Store and Refrigeration Authority are to be set up.
On the hospital project, Alhaji Mahama said the government was aware of the major challenges that faced the health sector in the past and noted that efforts were underway to restore the health facilities to their former glory not only by refurbishing and expanding existing ones but by adding more to meet demand.
He said the Winneba project was selected due to its strategic location in terms of handling trauma care as it lay along the major Trans-West Africa highway.
The Minister of Fisheries, Mrs Gladys Asmah, said fishing schools were to be established to train the youth who wanted to take fishing as a profession.
She was of the view that the projects would not only create jobs for the people but also provide them with sustainable income as well as transform the town.
Mr Samuel Owusu-Adjei, the Minister of Public Sector Reforms and the sitting Member of Parliament for the area said the government had fulfilled many of its promises to the people.
Friday, November 28, 2008
Let football unify nation - Veep
Sports page (lead), November 28/2008
Story: Charles Benoni Okine
THE Ghana Football Association (GFA) and the Professional League Board (PLB) have jointly urged soccer enthusiasts to use the beauty of the game as a unifying force to maintain the peace and stability the country presently enjoys.
The heads of the two bodies said although the general elections were around the corner, it was important for football lovers to use the resumption of the local premier league to defuse whatever tensions that exist in the country prior to the elections.
The President of the GFA, Mr Kwesi Nyantakyi and the chairman of the PLB, Mr Abra-Appiah, made the call at a dinner hosted by the Vice President, Alhaji Aliu Mahama, at his official residence at Cantonments in Accra last Wednesday night.
The occasion was to fraternise with the football administrators, as well as share ideas on how to move football to an appreciable level.
Mr Nyantakyi said football had the power to unite people because different people from different clubs support a particular club and would always cheer together.
“Football is the biggest constituency and it is even bigger than the voters register’, he added.
Mr Nyantakyi described the Vice President as a major contributor to the development of sports in the country since his days as the chairman of one of the country’s formidable clubs, Real Tamale United (RTU).
“Alhaji Mahama was very instrumental in getting the various stadia refurbished and new ones built to host the CAN 2008, and we are proud of that”, he said.
Mr Appiah on his part reiterated the need for unity in the country through soccer.
He said the country was not at war because of the general elections and asked all to shift their focus on the soccer season so as to reduce the tension in the country.
Proposing a toast for the night, Alhaji Mahama said; “So clearly, football is about the only area of national endeavour where true democracy reigns”.
He said the fans participated and made their voices known at club and national level adding that “At the GFA level, performance is constantly under scrutiny and threat of voting from your peers”.
The Vice president urged the football family not to rest on their current achievements but work hard to capitalise on the opportunities derived from hosting the CAN 2008 and the reaching of the group stages at the recent World Cup.
“These events have marketed the domestic game to the world. Now there is modern state of the art infrastructure as well as enhanced revenues from sponsorship and international recognition’, he said.
He said the country needed to be careful with the democracy so they do not “throw out the baby with the bath water whenever we feel aggrieved”.
Story: Charles Benoni Okine
THE Ghana Football Association (GFA) and the Professional League Board (PLB) have jointly urged soccer enthusiasts to use the beauty of the game as a unifying force to maintain the peace and stability the country presently enjoys.
The heads of the two bodies said although the general elections were around the corner, it was important for football lovers to use the resumption of the local premier league to defuse whatever tensions that exist in the country prior to the elections.
The President of the GFA, Mr Kwesi Nyantakyi and the chairman of the PLB, Mr Abra-Appiah, made the call at a dinner hosted by the Vice President, Alhaji Aliu Mahama, at his official residence at Cantonments in Accra last Wednesday night.
The occasion was to fraternise with the football administrators, as well as share ideas on how to move football to an appreciable level.
Mr Nyantakyi said football had the power to unite people because different people from different clubs support a particular club and would always cheer together.
“Football is the biggest constituency and it is even bigger than the voters register’, he added.
Mr Nyantakyi described the Vice President as a major contributor to the development of sports in the country since his days as the chairman of one of the country’s formidable clubs, Real Tamale United (RTU).
“Alhaji Mahama was very instrumental in getting the various stadia refurbished and new ones built to host the CAN 2008, and we are proud of that”, he said.
Mr Appiah on his part reiterated the need for unity in the country through soccer.
He said the country was not at war because of the general elections and asked all to shift their focus on the soccer season so as to reduce the tension in the country.
Proposing a toast for the night, Alhaji Mahama said; “So clearly, football is about the only area of national endeavour where true democracy reigns”.
He said the fans participated and made their voices known at club and national level adding that “At the GFA level, performance is constantly under scrutiny and threat of voting from your peers”.
The Vice president urged the football family not to rest on their current achievements but work hard to capitalise on the opportunities derived from hosting the CAN 2008 and the reaching of the group stages at the recent World Cup.
“These events have marketed the domestic game to the world. Now there is modern state of the art infrastructure as well as enhanced revenues from sponsorship and international recognition’, he said.
He said the country needed to be careful with the democracy so they do not “throw out the baby with the bath water whenever we feel aggrieved”.
Thursday, November 27, 2008
Too much being spent on malaria cure — Quarshigah
Back page, November 26/2008
Story: Charles Benoni Okine
THE Minister of Health, Major Courage Quarshigah (retd), has described as alarming the $762-million expenditure on malaria per annum and said that should be a wake-up call for all to adopt preventive measures to reduce the impact of the disease on the economy.
According to him, although the ministry was doing its best to reduce malaria infections, not much was being achieved and indicated that all hands must be on deck to bring the situation under control.
The Health Minister said this when the Vice President, Alhaji Aliu Mahama, inaugurated a new Chiropractic Wellness Centre at Dzorwulu in Accra yesterday.
Chiropractic and massage therapy, used in combination, form a powerful healing approach to relieving one’s pain and increasing his/her body's mobility and resilience.
“If this amount that we spend every year is channelled into the provision of social infrastructure, our country will be more developed than it is today,” he added.
The call comes at a time when the various parts of the country’s major cities, particularly Accra, have been engulfed in filth and stagnant waters, the two conditions that enhance mass breeding of mosquitoes which cause malaria.
Major Quarshigah said the budgets on other diseases were equally alarming but did not disclose the amount except to add that the country was spending too much on the curative aspect of medicine.
He said Ghanaians had to embrace the need to take the right diet and also ensure a clean surrounding.
The Health Minister said should this be adhered to, the country would be able to channel funds where they would be more profitable than spending them on preventable diseases.
The life expectancy rate in the country has been put at 57 years by the Ministry of Health and this, Major Quarshigah described as unfortunate and urged all to be careful of what they ate and how they kept their surroundings.
He said as a member of the Chiropractic and Wellness Centre in the country, he had learned a lot and urged others to join it.
Alhaji Mahama, in commending the owner of the centre, said, “at a time when the life expectancy of Ghanaians is declining at an unacceptable rate, this is an event which is not only dear to my heart but relevant to the health needs of the nation”.
He said in spite of the fact that effective health care provision required a concerted effort on the part of the citizenry, the government, communities, and the private sector remained a vital partner in health care provision.
“A more essential collaboration between the government and the private sector, which is the engine of growth, is required in order to fully cater for the health needs of the populace and ensure better health for Ghanaians,” he said.
He said often, preventive measures were more sustainable than curative ones and it was against this background that the focus of health care in Ghana had recently emphasised the need for regenerative health.
“A glance at the statistics reveals that many lifestyle-related diseases such as diabetes, gout, obesity and high blood pressure are on the increase and many of the affected tend to be in their most productive years,” he said.
For his part, Dr Manns, who is the Chief Executive Officer of the centre, said the services at the centre were virtually free, a move that is meant to entice many more people to patronise it to improve their health.
Story: Charles Benoni Okine
THE Minister of Health, Major Courage Quarshigah (retd), has described as alarming the $762-million expenditure on malaria per annum and said that should be a wake-up call for all to adopt preventive measures to reduce the impact of the disease on the economy.
According to him, although the ministry was doing its best to reduce malaria infections, not much was being achieved and indicated that all hands must be on deck to bring the situation under control.
The Health Minister said this when the Vice President, Alhaji Aliu Mahama, inaugurated a new Chiropractic Wellness Centre at Dzorwulu in Accra yesterday.
Chiropractic and massage therapy, used in combination, form a powerful healing approach to relieving one’s pain and increasing his/her body's mobility and resilience.
“If this amount that we spend every year is channelled into the provision of social infrastructure, our country will be more developed than it is today,” he added.
The call comes at a time when the various parts of the country’s major cities, particularly Accra, have been engulfed in filth and stagnant waters, the two conditions that enhance mass breeding of mosquitoes which cause malaria.
Major Quarshigah said the budgets on other diseases were equally alarming but did not disclose the amount except to add that the country was spending too much on the curative aspect of medicine.
He said Ghanaians had to embrace the need to take the right diet and also ensure a clean surrounding.
The Health Minister said should this be adhered to, the country would be able to channel funds where they would be more profitable than spending them on preventable diseases.
The life expectancy rate in the country has been put at 57 years by the Ministry of Health and this, Major Quarshigah described as unfortunate and urged all to be careful of what they ate and how they kept their surroundings.
He said as a member of the Chiropractic and Wellness Centre in the country, he had learned a lot and urged others to join it.
Alhaji Mahama, in commending the owner of the centre, said, “at a time when the life expectancy of Ghanaians is declining at an unacceptable rate, this is an event which is not only dear to my heart but relevant to the health needs of the nation”.
He said in spite of the fact that effective health care provision required a concerted effort on the part of the citizenry, the government, communities, and the private sector remained a vital partner in health care provision.
“A more essential collaboration between the government and the private sector, which is the engine of growth, is required in order to fully cater for the health needs of the populace and ensure better health for Ghanaians,” he said.
He said often, preventive measures were more sustainable than curative ones and it was against this background that the focus of health care in Ghana had recently emphasised the need for regenerative health.
“A glance at the statistics reveals that many lifestyle-related diseases such as diabetes, gout, obesity and high blood pressure are on the increase and many of the affected tend to be in their most productive years,” he said.
For his part, Dr Manns, who is the Chief Executive Officer of the centre, said the services at the centre were virtually free, a move that is meant to entice many more people to patronise it to improve their health.
Tuesday, November 25, 2008
Can MTN ride the storm?
Comment and Analysis (Telecommunications, page 12 and 14) November 25/2008.
By Charles Benoni Okine
The continent of Africa has now become the centre of concentration for mobile telephony companies across the globe because of the tremendous opportunities that Africa presents in the telecom sector.
The liberalisation of the sector, the extension of services by multinational conglomerates and the active competition currently in place in the sector have all contributed to what analysts describe as the telecom revolution. Since the processes of liberalisation and privatisation have been taken into consideration by African countries such as Ghana, the telecommunication infrastructures have improved drastically. Against this background, many African governments have developed their telecommunication infrastructure by privatising their former state-owned enterprises and opening the flood gates for the global giants to enter and partake. This brings to chap focus, the sale of the 70 per cent shares in the Ghana Telecommunications Company (GhanaTelecom) to Vodafon and the entry of Zain and Globacom into Ghana this year after MTN, the present market leader and Millicom Ghana, operators of tiGO have dominated the market.
With more than 82 million mobile users, Africa has undoubtedly been the fastest-growing mobile market in the world particularly over the past five years with millions more waiting to join the fray.
According to the African Business Pages, Nigeria's mobile market for instance is growing at more than 100 per cent annually. In Ghana the penetration is at an average of 30 per cent.
The journey to MTN
Even before the competition within the sector began, Scancom Ghana Limited, entered the market to set up the first GSM mobile telephony business with a brand name spacefon. There already in existence Mobitel which was run by Millicom Ghana Limited but the difference between the two was that the later was analogue.
Spacefon was the brand for the elite because compared to the other, it was expensive to get hooked onto it. Even cell phones to get it connected was not cheap and even easy to come by.
The company in realising moves being made by others such as GhanaTelecom to enter the market and Millicom switching to GSM, intensified their marketing campaign to ensure that it did not only maintain its lead but also win more customers.
After a long term service, the hints dropped that Spacefon was going to go Areeba because the owners of the company had offloaded their shares. In the end the rumours were true and then another aggressive marketing strategy was adopted to sell the new brand name, Areeba, to the customers.
In less than three years, the ownership of the company changed hands again and this time to MTN for a whooping sum of about $5.5 billion.
Brief about MTN Group Limited is a leading provider of communications services, offering cellular network access and business solutions.
The MTN Group is listed on the JSE Securities Exchange South Africa (JSE) under the Industrial – Non-cyclical services – Telecommunications sector. The MTN Group reported revenue of R17.2 billion for the six-month period ended 30 September 2005.
To date, the MTN Group has invested over R23,4 billion in telecommunications infrastructure across the African continent.
In Ghana, MTN has over the past 12 years been the market leader and states categorically on its website that “As the leading telecommunications company, MTN is focused on providing excellent telecommunications services across the African continent. We believe that through access to communication comes economic empowerment.”
MTN has a wide variety of network services as well as segments. These are specially designed for different kinds of people to enhance their mobile experience.
MTN is a household name throughout much of Africa with a presence in 21 countries in African and the Middle East.
As part of its quest to give back to its customers, MTN Ghana has launched a foundation (MTN Ghana Foundation) which is driving its Corporate Social Responsibility Programs.
MTN survival so far.
MTN now controls more than 50 per cent of the market and it has a subscriber base of a little below seven million.
The company has managed to use branding and a combination of the Ps in the marketing mix namely Product, Price, Place and Promotion.
About the product, MTN has used that aspect of packaging as well as services as its tramp card to entice the market.
With the pricing, MTN has ensured that its brand is priced competitively. It studies what its competitors are doing and its able to price the brand to make it continuously attractive and cheaper.
With place, the distribution of MTN is everywhere, just as its slogan goes “MTN, everywhere you go” because the company has ensured that in every corner, the brand is visible. Its market coverage is wide and the response has not been in doubt.
When it comes to promotion, it is clear that MTN has a huge budget for it. Whether it is about sales promotion, advertising, publicity or public relations, MTN has ensured that it does not take those to chance.
MTN and its customers:
In spite of its aggression in ensuring that it maintains or even add more to its subscriber list, there has been major challenges experienced by the customers of MTN.
Jojo Sinaman an Polytechnic student described the network services of MTN as a pain. “I call and I here my voice, yet the credit runs at my expense although the one I call does not here me speak”.
Justina Ampadu-Nyarko, a graduate from the African University College also expressed concern about the network quality and described the service as one that does not reflect what she described as the “loudness of a network which is a market leader”.
Yayra Amedzro, Office manager of West African market Links, had these strong words for a network she has been using for more than 10 years. “Their services stinks. I have decided to change to one of the new networks coming; I am not going to add to it as others have done. I will switch outright”.
Others have their various ways of describing the network quality and services they receive from MTN although they are religiously hooked to it.
With all intense and purposes, these anomalies in the service provided should entice them to leave the network but MTN continuos to grow. In certain years, growth is slow but generally, the bottom line is, there is growth of some sort.
Analysts have expressed fear about the services provided by MTN and why the regulator is silent about what is happening. They believe that MTN has the capacity do better but was riding on the back of the inability of the regulator to raise the rod or the refusal of subscribers to quit the network for other competitors.
What are MTN competitors doing?
Presently, MTN to MTN are also aggressively using the marketing mix to gain grounds and also ensure that they capture a greater market share. These they have done in the past but have lacked the resources to match the financial clout of MTN.
With advertising, the competitors are also spending huge sums of money to ensure that they embarked on massive outdoor advertising campaigns while using the both the electronic and print media as well.
They have come up with new and innovative products to make their brands more attractive.
For instance, tiGO allows its customers to make calls throughout most of the day with just a text to deduct up to Gh¢1 and the same goes for those who want to use the text messaging. The prices of their sim cards are almost free just like the others but they set the pace to have their sim cards reduced drastically. tiGO presently is in the second position with a little over 2 million subscribers.
OneTouch is also in the fray doing its own thing. It also allows its customers to make calls and pay for only the first three minutes. It has free night calls from 11 pm until the next morning. Its drive in the advertising circles is also no ‘kids stuff’. Presently with Vodafon on board having acquired 70 per cent stake in the company, the market is expected to become more exciting.
As the new Chief Executive Officer of the company, Mr David Venn said “MTN has been able to capture the market because they had the resources to do what the others could not do”; But now we are here and we have what it takes to do even more than what put them where they are”. He said he believes in the staff of the company and was going all out”.
Zain and Globacom are yet to hit the market but they have also sent strong signals to the market that they are not in to joke. They all have plans to make international calls cost the same as the local calls as MTN has began with some selected countries such as Nigeria, Benin and Togo.
Another phenomenon in the market is the use of competitive-based pricing where the players use their prices based on the prices that competitors charge for similar products. The sale of the sim cards are a typical example.
Theuse of the product/market expansion grid where a portofolio-planning tool for identifying company growth oportunities through either market penetration, market development, product development and diversification is very rampant among the competitors.
The competitors are using all the grid. For instance with market development stretegies, competitors have always used increasing sales of their current market segments without changing their products. Here, they have open new market areas as a way of improving visibility and making access to their products easy for customers. They have used market development strategies where they develop new market segments for current company products. They have entered the rural areas to get at the least financially endowed and ensured that more of the youth and the aged get access to their products.
In the past, it was only MTN that reached almost every part of the country using all manner of marketing strategies and that has paid. It is agaisnt this background that the competitors are also trying to catch up.
Conclusion:
In spite of the odds, MTN believes that its operations is purely driven by five key values of Leadership, Innovation, Integrity, Relationships and Can-do, and insisted that it is poised to provide a variety of innovative, customer-focused products and services offering superior customer value propositions for the various market segments.
It also believes it is equipped with the right human expertise and technological know-how and will continue to excel to enable the organisation become the leading telecoms provider in emerging countries, Ghana inclusive.
It is evident from the continuos injection of huge sums of capital to add more cell sites and also put some mechanisms to improve the network service. This year, the company has spent almost $400 million on its expansion drive and as the Head of Corporate Affairs of MTN, Ms Mawuena Dumor always tells the media, “We are still spending because we are growing very fast”.
Competition in every industry is good because of the benefits there of not only for the players but more so for the clients of the players as well. Competition affords players to give off their best to either maintain their market share or increase it. Through competition, players within an industry are able to ensure that they give either good quality products or services, price well and also make themselves as visible as possible.
More than a decade ago, the generic name for the mobile telephony sector was Mobitel, the brand name for the analogue mobile phone service for Millicom Ghana Limited but today its undoubtedly MTN.
It has been proven that Mobile telephony has a positive and significant impact on economic growth, and this impact may be twice as large in developing countries as in developed countries.
That mobile phone use is growing faster in Africa than anywhere else shouldn't come as much of a surprise, given a moment's thought. Only 6 per cent of African citizens owned a mobile phone in 2004, so as prices drop (and low-cost phones made for the developing world come into the market), there's a huge potential market available. In Asia, North America and Europe, conversely, mobile phone use approaches saturation, so any remaining growth will be far slower as against that of Africa.
It will for MTN in the coming years but with its determination to continue to lead the market, it is clear that, whichever brand to take over might not have it easy.
By Charles Benoni Okine
The continent of Africa has now become the centre of concentration for mobile telephony companies across the globe because of the tremendous opportunities that Africa presents in the telecom sector.
The liberalisation of the sector, the extension of services by multinational conglomerates and the active competition currently in place in the sector have all contributed to what analysts describe as the telecom revolution. Since the processes of liberalisation and privatisation have been taken into consideration by African countries such as Ghana, the telecommunication infrastructures have improved drastically. Against this background, many African governments have developed their telecommunication infrastructure by privatising their former state-owned enterprises and opening the flood gates for the global giants to enter and partake. This brings to chap focus, the sale of the 70 per cent shares in the Ghana Telecommunications Company (GhanaTelecom) to Vodafon and the entry of Zain and Globacom into Ghana this year after MTN, the present market leader and Millicom Ghana, operators of tiGO have dominated the market.
With more than 82 million mobile users, Africa has undoubtedly been the fastest-growing mobile market in the world particularly over the past five years with millions more waiting to join the fray.
According to the African Business Pages, Nigeria's mobile market for instance is growing at more than 100 per cent annually. In Ghana the penetration is at an average of 30 per cent.
The journey to MTN
Even before the competition within the sector began, Scancom Ghana Limited, entered the market to set up the first GSM mobile telephony business with a brand name spacefon. There already in existence Mobitel which was run by Millicom Ghana Limited but the difference between the two was that the later was analogue.
Spacefon was the brand for the elite because compared to the other, it was expensive to get hooked onto it. Even cell phones to get it connected was not cheap and even easy to come by.
The company in realising moves being made by others such as GhanaTelecom to enter the market and Millicom switching to GSM, intensified their marketing campaign to ensure that it did not only maintain its lead but also win more customers.
After a long term service, the hints dropped that Spacefon was going to go Areeba because the owners of the company had offloaded their shares. In the end the rumours were true and then another aggressive marketing strategy was adopted to sell the new brand name, Areeba, to the customers.
In less than three years, the ownership of the company changed hands again and this time to MTN for a whooping sum of about $5.5 billion.
Brief about MTN Group Limited is a leading provider of communications services, offering cellular network access and business solutions.
The MTN Group is listed on the JSE Securities Exchange South Africa (JSE) under the Industrial – Non-cyclical services – Telecommunications sector. The MTN Group reported revenue of R17.2 billion for the six-month period ended 30 September 2005.
To date, the MTN Group has invested over R23,4 billion in telecommunications infrastructure across the African continent.
In Ghana, MTN has over the past 12 years been the market leader and states categorically on its website that “As the leading telecommunications company, MTN is focused on providing excellent telecommunications services across the African continent. We believe that through access to communication comes economic empowerment.”
MTN has a wide variety of network services as well as segments. These are specially designed for different kinds of people to enhance their mobile experience.
MTN is a household name throughout much of Africa with a presence in 21 countries in African and the Middle East.
As part of its quest to give back to its customers, MTN Ghana has launched a foundation (MTN Ghana Foundation) which is driving its Corporate Social Responsibility Programs.
MTN survival so far.
MTN now controls more than 50 per cent of the market and it has a subscriber base of a little below seven million.
The company has managed to use branding and a combination of the Ps in the marketing mix namely Product, Price, Place and Promotion.
About the product, MTN has used that aspect of packaging as well as services as its tramp card to entice the market.
With the pricing, MTN has ensured that its brand is priced competitively. It studies what its competitors are doing and its able to price the brand to make it continuously attractive and cheaper.
With place, the distribution of MTN is everywhere, just as its slogan goes “MTN, everywhere you go” because the company has ensured that in every corner, the brand is visible. Its market coverage is wide and the response has not been in doubt.
When it comes to promotion, it is clear that MTN has a huge budget for it. Whether it is about sales promotion, advertising, publicity or public relations, MTN has ensured that it does not take those to chance.
MTN and its customers:
In spite of its aggression in ensuring that it maintains or even add more to its subscriber list, there has been major challenges experienced by the customers of MTN.
Jojo Sinaman an Polytechnic student described the network services of MTN as a pain. “I call and I here my voice, yet the credit runs at my expense although the one I call does not here me speak”.
Justina Ampadu-Nyarko, a graduate from the African University College also expressed concern about the network quality and described the service as one that does not reflect what she described as the “loudness of a network which is a market leader”.
Yayra Amedzro, Office manager of West African market Links, had these strong words for a network she has been using for more than 10 years. “Their services stinks. I have decided to change to one of the new networks coming; I am not going to add to it as others have done. I will switch outright”.
Others have their various ways of describing the network quality and services they receive from MTN although they are religiously hooked to it.
With all intense and purposes, these anomalies in the service provided should entice them to leave the network but MTN continuos to grow. In certain years, growth is slow but generally, the bottom line is, there is growth of some sort.
Analysts have expressed fear about the services provided by MTN and why the regulator is silent about what is happening. They believe that MTN has the capacity do better but was riding on the back of the inability of the regulator to raise the rod or the refusal of subscribers to quit the network for other competitors.
What are MTN competitors doing?
Presently, MTN to MTN are also aggressively using the marketing mix to gain grounds and also ensure that they capture a greater market share. These they have done in the past but have lacked the resources to match the financial clout of MTN.
With advertising, the competitors are also spending huge sums of money to ensure that they embarked on massive outdoor advertising campaigns while using the both the electronic and print media as well.
They have come up with new and innovative products to make their brands more attractive.
For instance, tiGO allows its customers to make calls throughout most of the day with just a text to deduct up to Gh¢1 and the same goes for those who want to use the text messaging. The prices of their sim cards are almost free just like the others but they set the pace to have their sim cards reduced drastically. tiGO presently is in the second position with a little over 2 million subscribers.
OneTouch is also in the fray doing its own thing. It also allows its customers to make calls and pay for only the first three minutes. It has free night calls from 11 pm until the next morning. Its drive in the advertising circles is also no ‘kids stuff’. Presently with Vodafon on board having acquired 70 per cent stake in the company, the market is expected to become more exciting.
As the new Chief Executive Officer of the company, Mr David Venn said “MTN has been able to capture the market because they had the resources to do what the others could not do”; But now we are here and we have what it takes to do even more than what put them where they are”. He said he believes in the staff of the company and was going all out”.
Zain and Globacom are yet to hit the market but they have also sent strong signals to the market that they are not in to joke. They all have plans to make international calls cost the same as the local calls as MTN has began with some selected countries such as Nigeria, Benin and Togo.
Another phenomenon in the market is the use of competitive-based pricing where the players use their prices based on the prices that competitors charge for similar products. The sale of the sim cards are a typical example.
Theuse of the product/market expansion grid where a portofolio-planning tool for identifying company growth oportunities through either market penetration, market development, product development and diversification is very rampant among the competitors.
The competitors are using all the grid. For instance with market development stretegies, competitors have always used increasing sales of their current market segments without changing their products. Here, they have open new market areas as a way of improving visibility and making access to their products easy for customers. They have used market development strategies where they develop new market segments for current company products. They have entered the rural areas to get at the least financially endowed and ensured that more of the youth and the aged get access to their products.
In the past, it was only MTN that reached almost every part of the country using all manner of marketing strategies and that has paid. It is agaisnt this background that the competitors are also trying to catch up.
Conclusion:
In spite of the odds, MTN believes that its operations is purely driven by five key values of Leadership, Innovation, Integrity, Relationships and Can-do, and insisted that it is poised to provide a variety of innovative, customer-focused products and services offering superior customer value propositions for the various market segments.
It also believes it is equipped with the right human expertise and technological know-how and will continue to excel to enable the organisation become the leading telecoms provider in emerging countries, Ghana inclusive.
It is evident from the continuos injection of huge sums of capital to add more cell sites and also put some mechanisms to improve the network service. This year, the company has spent almost $400 million on its expansion drive and as the Head of Corporate Affairs of MTN, Ms Mawuena Dumor always tells the media, “We are still spending because we are growing very fast”.
Competition in every industry is good because of the benefits there of not only for the players but more so for the clients of the players as well. Competition affords players to give off their best to either maintain their market share or increase it. Through competition, players within an industry are able to ensure that they give either good quality products or services, price well and also make themselves as visible as possible.
More than a decade ago, the generic name for the mobile telephony sector was Mobitel, the brand name for the analogue mobile phone service for Millicom Ghana Limited but today its undoubtedly MTN.
It has been proven that Mobile telephony has a positive and significant impact on economic growth, and this impact may be twice as large in developing countries as in developed countries.
That mobile phone use is growing faster in Africa than anywhere else shouldn't come as much of a surprise, given a moment's thought. Only 6 per cent of African citizens owned a mobile phone in 2004, so as prices drop (and low-cost phones made for the developing world come into the market), there's a huge potential market available. In Asia, North America and Europe, conversely, mobile phone use approaches saturation, so any remaining growth will be far slower as against that of Africa.
It will for MTN in the coming years but with its determination to continue to lead the market, it is clear that, whichever brand to take over might not have it easy.
'I am noted for being the first'
Graphic Business (Business Life, Page 30) November 25/2008
Mr David Venn the new chief executive officer of Ghana Telecom is not afraid of challenges. He believes that his desire and enthusiasm to succeed at all cost will make him shine in the Ghanaian telecommunication market. The competition, no doubt, is stiff, but Mr Venn is equally unbending, and says his company will be the “first”. Charles Benoni Okine profiles Ghana Telecom and Mr Venn
When the Government of Ghana decided to cede 70 per cent of its shares in Ghana Telecom to Vodafone it was not greeted with the funfair it had hoped for. Some observers were highly critical of the government, believing strongly that the deal was not in the best interest of the country.
The deal eventually went through parliament successfully, and today, with pride, Ghana Telecom is part of a strong global brand. The little euphoria that the deal generated has now died down, and now what analysts and Ghanaians want to see is a telecoms company that is able to match the other serious brands in the country.
With hindsight, many who had opposed the deal previously now believe that it was the best thing to happen to the company. Why is that so? Ghana Telecom was struggling financially. Because the government was the sole shareholder, it was not been able to raise the huge investment needed to compete in the market.
Therefore, even though it was the premier telecoms company in the country, its uptake of the mobile telephone market was slow. The main stumbling block was the lack of cash, and therefore, foreign investors found a way into the market and capitalised on the huge investment opportunities available.
Even though it eventually took seriously to the mobile telephony market, it is still behind MTN the market leader in the mobile telephony sector and Millicom Ghana, operators of tiGO, in second position. New entrants such as Zain and Globacom are also about to launch themselves into the market after receiving their licences to operate in the country. The market is surely getting interesting.
Vodafone’s involvement with Ghana Telecom has also changed the dynamics in the market, as far as competition is concerned, and even though MTN has promised to maintain its lead, its staying power will be severely tested; all the other players now mean business.
Having become the biggest shareholder with a drive to dominate the Ghanaian market, Vodafone, was careful in the selection of a new Chief Executive for the new venture, according to the company. It is with this in mind that Mr David Venn was appointed to Ghana. At 47, Mr Venn sees himself as the man with the credentials to lead the new face Ghana Telecom in Ghana, taking over from Mr Dickson Oduro-Nyaning whose contract ended on November 10.
Mr Venn is a respected business leader with proven experience in driving growth and implementing innovative business strategies; important attributes needed to survive the fierce competition that pertains in the sector.
He has a rich experience in the telecoms market of Africa, having spent the last five years in Zambia where he gained good knowledge and special insights into the African telecommunications market.
Mr Venn’s career in the telecommunications industry spans over 30 years during which time he has transformed average companies into fast growing and dynamic organisations that have made significant returns to shareholders.
Mr. Venn has worked in a number of telecommunications enterprises in the USA, UK and other parts of Europe.
He has also held leadership positions in Pakistan, Indonesia, Malaysia, Hong Kong and Australia.
In an exclusive interview with Graphic Business, Mr Venn reaffirmed his commitment to the task ahead and noted: “I am noted for being the first wherever I find myself and that is why I accepted the offer to work in this company”.
He said he believes in innovation and was all out to ensure that Ghana Telecom regained its lost glory, which has affected its market penetration in the mobile telephony industry.
Even though there was some controversy surrounding the agreement, Mr Venn is not perturbed about the circumstances surrounding the sale except to say “it is business as usual and that is what I am here for”.
He believes that what happened was just an issue to do with politics and now the real business begins. Therefore, he has expressed his willingness to discharge his duties as per his mandate and not to meddle in politics of the country because, as he puts it, “that is not the reason I am here”.
Mr Venn is of the clear conviction that no matter which government is in power, its quest would be to see Ghana grow with many people in employment “and Vodafone is here to do exactly that for which reason the government of the day and in the future would be delighted to see.
He describes Ghana as a country with a conducive environment for businesses to grow and that Ghana Telecom would grow and flourish under his leadership.
Workers of the company were among the first group of people to believe in the government’s decision to sell its stake in the company, and it is something that surprises Mr Venn.
This is because quite often workers see agreements of this nature as a threat to their own future in the company.
According to him from his interaction with a few of the staff he could sense their eagerness to work to turn the fortunes of the company around.
Ghana Telecom, to him had been starved of fresh investments to enable it to make maximum use of the highly versatile, competent and experienced staff of the company. “My being here is to ensure that they are motivated to give off their best”, Mr Venn promised.
About competition, Mr Venn admitted that with giants such as MTN and Zain in the fray it was indeed not joke for any telecoms company to sit on the sidelines. Vodafone, he says, is in for the long haul.
Mr Venn says he has the passion to succeed and through dedication, innovation and experience and above all the injection of fresh capital into the company, the economic fortunes of the company should be transformed.
The Ghana Telecom CEO is of the view that what had made Ghana Telecom what it is was purely as a result of lack of cash and Vodafone is in to inject the right amounts of capital to enable the company to surmount the challenges in the fiercely contested telecoms market.
“Vodafone’s investment is to get the company well equipped technically with the state of the art telecommunication equipment that will completely transform its service to world class standards”, he said.
He said Vodafone is a serious company which does not toy with its businesses and indicated that “we are here to turn things around and our competitors and the customers will shortly see what we are here to accomplish”.
There have been speculations about the fact that Vodafone was not strong when it comes to fixed line operations and was therefore going to phase out that aspect of Ghana Telecom’s business. Mr Venn completely disagrees. “There is the fixed line and the broadband before the mobile and I can tell you that the investment into the business will cover all not only mobile”, he said.
He said the company was strong in all those areas and will not leave anything to chance as it strives to dominate the market in all its business areas.
Mr Venn has pledged his commitment to succeed just as he had done in Zambia and expressed the hope that the employees of the company will come on board to make that dream of making Ghana Telecom the number one in the industry a reality.
But in spite of his tramp card for enthusiasm and passion for success, Mr Venn will be faced with the challenge of overturning the tables in the mobile telephony sector which is dominated by MTN with more than 50 per cent share of the market presently.
The market, analysts believe, has an untapped potential of about 35 per cent with each of the existing players and the new entrants grappling to capture a chunk of it. That does not trouble Mr Venn the least, believing strongly that it is something he can effectively handle. But the biggest threat to his ambition will be how much Vodafone will commit to the Ghana operations now that the Group has announced a profit shortfall of GB£1 billion in its global operations. The Group CEO has announced cut backs in spending to accommodate the shortfall, and if this should affect Ghana, then Vodafone will really have a huge problem to deal with- and will not be able to compete in the market.
Mr David Venn the new chief executive officer of Ghana Telecom is not afraid of challenges. He believes that his desire and enthusiasm to succeed at all cost will make him shine in the Ghanaian telecommunication market. The competition, no doubt, is stiff, but Mr Venn is equally unbending, and says his company will be the “first”. Charles Benoni Okine profiles Ghana Telecom and Mr Venn
When the Government of Ghana decided to cede 70 per cent of its shares in Ghana Telecom to Vodafone it was not greeted with the funfair it had hoped for. Some observers were highly critical of the government, believing strongly that the deal was not in the best interest of the country.
The deal eventually went through parliament successfully, and today, with pride, Ghana Telecom is part of a strong global brand. The little euphoria that the deal generated has now died down, and now what analysts and Ghanaians want to see is a telecoms company that is able to match the other serious brands in the country.
With hindsight, many who had opposed the deal previously now believe that it was the best thing to happen to the company. Why is that so? Ghana Telecom was struggling financially. Because the government was the sole shareholder, it was not been able to raise the huge investment needed to compete in the market.
Therefore, even though it was the premier telecoms company in the country, its uptake of the mobile telephone market was slow. The main stumbling block was the lack of cash, and therefore, foreign investors found a way into the market and capitalised on the huge investment opportunities available.
Even though it eventually took seriously to the mobile telephony market, it is still behind MTN the market leader in the mobile telephony sector and Millicom Ghana, operators of tiGO, in second position. New entrants such as Zain and Globacom are also about to launch themselves into the market after receiving their licences to operate in the country. The market is surely getting interesting.
Vodafone’s involvement with Ghana Telecom has also changed the dynamics in the market, as far as competition is concerned, and even though MTN has promised to maintain its lead, its staying power will be severely tested; all the other players now mean business.
Having become the biggest shareholder with a drive to dominate the Ghanaian market, Vodafone, was careful in the selection of a new Chief Executive for the new venture, according to the company. It is with this in mind that Mr David Venn was appointed to Ghana. At 47, Mr Venn sees himself as the man with the credentials to lead the new face Ghana Telecom in Ghana, taking over from Mr Dickson Oduro-Nyaning whose contract ended on November 10.
Mr Venn is a respected business leader with proven experience in driving growth and implementing innovative business strategies; important attributes needed to survive the fierce competition that pertains in the sector.
He has a rich experience in the telecoms market of Africa, having spent the last five years in Zambia where he gained good knowledge and special insights into the African telecommunications market.
Mr Venn’s career in the telecommunications industry spans over 30 years during which time he has transformed average companies into fast growing and dynamic organisations that have made significant returns to shareholders.
Mr. Venn has worked in a number of telecommunications enterprises in the USA, UK and other parts of Europe.
He has also held leadership positions in Pakistan, Indonesia, Malaysia, Hong Kong and Australia.
In an exclusive interview with Graphic Business, Mr Venn reaffirmed his commitment to the task ahead and noted: “I am noted for being the first wherever I find myself and that is why I accepted the offer to work in this company”.
He said he believes in innovation and was all out to ensure that Ghana Telecom regained its lost glory, which has affected its market penetration in the mobile telephony industry.
Even though there was some controversy surrounding the agreement, Mr Venn is not perturbed about the circumstances surrounding the sale except to say “it is business as usual and that is what I am here for”.
He believes that what happened was just an issue to do with politics and now the real business begins. Therefore, he has expressed his willingness to discharge his duties as per his mandate and not to meddle in politics of the country because, as he puts it, “that is not the reason I am here”.
Mr Venn is of the clear conviction that no matter which government is in power, its quest would be to see Ghana grow with many people in employment “and Vodafone is here to do exactly that for which reason the government of the day and in the future would be delighted to see.
He describes Ghana as a country with a conducive environment for businesses to grow and that Ghana Telecom would grow and flourish under his leadership.
Workers of the company were among the first group of people to believe in the government’s decision to sell its stake in the company, and it is something that surprises Mr Venn.
This is because quite often workers see agreements of this nature as a threat to their own future in the company.
According to him from his interaction with a few of the staff he could sense their eagerness to work to turn the fortunes of the company around.
Ghana Telecom, to him had been starved of fresh investments to enable it to make maximum use of the highly versatile, competent and experienced staff of the company. “My being here is to ensure that they are motivated to give off their best”, Mr Venn promised.
About competition, Mr Venn admitted that with giants such as MTN and Zain in the fray it was indeed not joke for any telecoms company to sit on the sidelines. Vodafone, he says, is in for the long haul.
Mr Venn says he has the passion to succeed and through dedication, innovation and experience and above all the injection of fresh capital into the company, the economic fortunes of the company should be transformed.
The Ghana Telecom CEO is of the view that what had made Ghana Telecom what it is was purely as a result of lack of cash and Vodafone is in to inject the right amounts of capital to enable the company to surmount the challenges in the fiercely contested telecoms market.
“Vodafone’s investment is to get the company well equipped technically with the state of the art telecommunication equipment that will completely transform its service to world class standards”, he said.
He said Vodafone is a serious company which does not toy with its businesses and indicated that “we are here to turn things around and our competitors and the customers will shortly see what we are here to accomplish”.
There have been speculations about the fact that Vodafone was not strong when it comes to fixed line operations and was therefore going to phase out that aspect of Ghana Telecom’s business. Mr Venn completely disagrees. “There is the fixed line and the broadband before the mobile and I can tell you that the investment into the business will cover all not only mobile”, he said.
He said the company was strong in all those areas and will not leave anything to chance as it strives to dominate the market in all its business areas.
Mr Venn has pledged his commitment to succeed just as he had done in Zambia and expressed the hope that the employees of the company will come on board to make that dream of making Ghana Telecom the number one in the industry a reality.
But in spite of his tramp card for enthusiasm and passion for success, Mr Venn will be faced with the challenge of overturning the tables in the mobile telephony sector which is dominated by MTN with more than 50 per cent share of the market presently.
The market, analysts believe, has an untapped potential of about 35 per cent with each of the existing players and the new entrants grappling to capture a chunk of it. That does not trouble Mr Venn the least, believing strongly that it is something he can effectively handle. But the biggest threat to his ambition will be how much Vodafone will commit to the Ghana operations now that the Group has announced a profit shortfall of GB£1 billion in its global operations. The Group CEO has announced cut backs in spending to accommodate the shortfall, and if this should affect Ghana, then Vodafone will really have a huge problem to deal with- and will not be able to compete in the market.
Borders won't be closed on Dec 7
Page 3 (lead) November 25/2005
Story: Charles Benoni Okine
THE government says it has no intention to close down any of the country’s borders on election day in order not to inconvenience the free movement of people and goods.
The Minister of Foreign Affairs, Regional Integration and NEPAD, Mr Akwasi Osei-Adjei, who announced the measure at a meeting with envoys of the Economic Community of West African States (ECOWAS) in Accra, expressed the hope that the gesture would be reciprocated with the appropriate vigilance by neighbouring countries in order to forestall or check “any untoward behaviour or movement along the borders”.
The closure of the country’s borders to its neighbours on every election day has been the status quo since 1992, a move meant to prevent foreign nationals from taking part in the polls.
Such border closures has been the norm for many ECOWAS countries, including Togo, during its national polls, but Ghana has moved to set a precedent this year with the explanation to allow the free movement of people and also ensure that businesses do not come to a standstill.
He charged the embassies of ECOWAS member states in the country to prevail on their nationals not to participate in the December 7 general election.
He also asked them to advise their nationals to refrain from any acts that might infringe on the electoral laws or the peace of the country.
The minister stated categorically that “the elections are open to Ghanaians only and the principle of non-interference is to be respected”.
The meeting, which came barely two weeks before the general election, was to afford Mr Osei-Adjei the opportunity to brief the ambassadors on the efforts the government and other national stakeholders had made to ensure peaceful, free, fair and transparent elections next month.
The charge to the embassies comes in the wake of various allegations about the participation of foreign nationals in the recent limited registration exercise under the auspices of the Electoral Commission (EC).
Mr Osei-Adjei assured the nation that arrangements were in place to ensure successful elections, adding, “The government of Ghana is committed to ensuring the security of the state and the National Elections Security Task Force is prepared to ensure that a peaceful atmosphere prevails before, during and after the elections.”
He denied allegations that the government was hatching a plot to rig the elections and reiterated that it was committed to holding peaceful and successful elections.
Mr Osei-Adjei stressed the need for ECOWAS to remain focused on promoting peace and stability in the sub-region as efforts were made to address the daunting challenges of socio-economic development.
The acting Dean of the ECOWAS Group of Ambassadors, Mr Hassane A. Toure of Niger, assured the minister that their nationals would be advised accordingly.
He said the countries would act within their competence to help ensure peaceful and successful elections in the country.
Story: Charles Benoni Okine
THE government says it has no intention to close down any of the country’s borders on election day in order not to inconvenience the free movement of people and goods.
The Minister of Foreign Affairs, Regional Integration and NEPAD, Mr Akwasi Osei-Adjei, who announced the measure at a meeting with envoys of the Economic Community of West African States (ECOWAS) in Accra, expressed the hope that the gesture would be reciprocated with the appropriate vigilance by neighbouring countries in order to forestall or check “any untoward behaviour or movement along the borders”.
The closure of the country’s borders to its neighbours on every election day has been the status quo since 1992, a move meant to prevent foreign nationals from taking part in the polls.
Such border closures has been the norm for many ECOWAS countries, including Togo, during its national polls, but Ghana has moved to set a precedent this year with the explanation to allow the free movement of people and also ensure that businesses do not come to a standstill.
He charged the embassies of ECOWAS member states in the country to prevail on their nationals not to participate in the December 7 general election.
He also asked them to advise their nationals to refrain from any acts that might infringe on the electoral laws or the peace of the country.
The minister stated categorically that “the elections are open to Ghanaians only and the principle of non-interference is to be respected”.
The meeting, which came barely two weeks before the general election, was to afford Mr Osei-Adjei the opportunity to brief the ambassadors on the efforts the government and other national stakeholders had made to ensure peaceful, free, fair and transparent elections next month.
The charge to the embassies comes in the wake of various allegations about the participation of foreign nationals in the recent limited registration exercise under the auspices of the Electoral Commission (EC).
Mr Osei-Adjei assured the nation that arrangements were in place to ensure successful elections, adding, “The government of Ghana is committed to ensuring the security of the state and the National Elections Security Task Force is prepared to ensure that a peaceful atmosphere prevails before, during and after the elections.”
He denied allegations that the government was hatching a plot to rig the elections and reiterated that it was committed to holding peaceful and successful elections.
Mr Osei-Adjei stressed the need for ECOWAS to remain focused on promoting peace and stability in the sub-region as efforts were made to address the daunting challenges of socio-economic development.
The acting Dean of the ECOWAS Group of Ambassadors, Mr Hassane A. Toure of Niger, assured the minister that their nationals would be advised accordingly.
He said the countries would act within their competence to help ensure peaceful and successful elections in the country.
Ballot papers go out today
Front page, November 25/2008
Story: Charles Benoni Okine
THE Electoral Commission (EC) will begin the distribution of ballot papers to the various regions from today in readiness for the December 7 presidential and parliamentary polls.
The distribution will begin with the three northern regions, which are Upper West, Upper East and Northern, and continue to the Brong Ahafo Region and then the Ashanti Region and down to the south.
The move, according to the Director of Elections at the EC, Mr Albert Arhin, formed part of measures to ensure that every corner of the country accessed the papers and other polling materials and logistics on polling day and on time.
He told the Daily Graphic that the papers would be distributed according to the number of registered voters per region, adding that “they will be handed over to the police for safekeeping and released on election day to the various polling centres”.
Voting is expected to begin at 7.00 a.m. on December 7 in all the 22,000 designated polling stations in the 230 constituencies across the country.
Each of the polling stations will have a unique stamp to authenticate the ballots to ensure easy identification.
Mr Arhin said the materials with the police would be heavily guarded to ensure that nobody tampered with them.
He said the EC was on schedule to ensure another successful election and noted that all the other election materials, including logistics, which would be needed on the polling day had already been dispatched.
Mr Arhin said it was the duty of the electoral officers in the regions to ensure that the materials were up to the requests they made.
Story: Charles Benoni Okine
THE Electoral Commission (EC) will begin the distribution of ballot papers to the various regions from today in readiness for the December 7 presidential and parliamentary polls.
The distribution will begin with the three northern regions, which are Upper West, Upper East and Northern, and continue to the Brong Ahafo Region and then the Ashanti Region and down to the south.
The move, according to the Director of Elections at the EC, Mr Albert Arhin, formed part of measures to ensure that every corner of the country accessed the papers and other polling materials and logistics on polling day and on time.
He told the Daily Graphic that the papers would be distributed according to the number of registered voters per region, adding that “they will be handed over to the police for safekeeping and released on election day to the various polling centres”.
Voting is expected to begin at 7.00 a.m. on December 7 in all the 22,000 designated polling stations in the 230 constituencies across the country.
Each of the polling stations will have a unique stamp to authenticate the ballots to ensure easy identification.
Mr Arhin said the materials with the police would be heavily guarded to ensure that nobody tampered with them.
He said the EC was on schedule to ensure another successful election and noted that all the other election materials, including logistics, which would be needed on the polling day had already been dispatched.
Mr Arhin said it was the duty of the electoral officers in the regions to ensure that the materials were up to the requests they made.
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