The Warwick MBA

Assignment Cover Sheet

Submitted by: 966111 Date Sent: 27.01.2011 Module Title: Economic of the Business Environment Module Code: IB802Z Date/Year of Module: 06/2010 Submission Deadline: 30.01.2011 Word Count: 3114 Number of Pages: (including cover page) Question: Choose a firm. It could be a business who is a customer or supplier
of IBM or just a business in which you are interested. It must not be IBM. Set out the performance of the firm in relation to its main competitors since 2004 including data for 2008 and 2009. Conduct an economic analysis of the firm, its markets and their wider macro context. How far does your analysis explain the performance of your chosen business? What are the implications of the performance of the company in the US and global recession of 2008/9 for strategy in 2010/11?

This is to certify that the work I am submitting is my own. All external references and sources are clearly acknowledged and identified within the contents. I am aware of the University of Warwick regulation concerning plagiarism and collusion. No substantial part(s) of the work submitted here has also been submitted by me in other assessments for accredited courses of study, and I acknowledge that if this has been done an appropriate reduction in the mark I might otherwise have received will be made.

Warwick MBA Economic of Business Environment

Table of content

ASSIGNMENT COVER SHEET................................................................................................................................... 1 1. INTRODUCTION ....................................................................................................................................... 3 2. VULNERABILITY..................................................................................................................................... 5 3. EXPOSURE ................................................................................................................................................... 7 3.1. MARKET DESCRIPTION ............................................................................................................................ 7 3.2. CUSTOMER STRUCTURE ......................................................................................................................... 11 3.3. FINANCIAL OUTLOOK ............................................................................................................................. 14 3.4. ELASTICITY ............................................................................................................................................. 15 3.4.1. GDP AND INCOME .............................................................................................................................. 16 3.5 EXCHANGE RATES IMPACT ....................................................................................................................... 18 3.6 GOVERNMENT INTERVENTION................................................................................................................. 18 4. CONCLUSION & OUTLOOK ............................................................................................................... 20 5. APPENDIX ................................................................................................................................................. 21 5.1 ENTITIES OF TP GROUP: ....................................................................................................................... 21 5.2 KEY PLAYERS IN TELECOM MARKET IN POLAND ..................................................................................... 23 6. REFERENCES ............................................................................................................................................ 24

Student Number 0966111

Warwick MBA Economic of Business Environment

1. Introduction

Telekomunikacja Polska S.A. (here referred as TP S.A or TP Group) was established in 1991 on the wave of political and social changes after breakup of communist system in Poland. Big national establishment Poczta Polska, Telegraf & Telefon was divided into 2 different entities: Polish Post and Polish Telecommunication. One month later TP S.A. was formed. In 1998 the company was privatized and quoted on London Stock Exchange in form of Global Depository Receipts. In mid 2000 TP S.A. won strategic partner consortium of companies France Telecom & Kulczyk Holding having 35% of shares. In 2001 they increased their shares to 47,5%. On the turn of 2004/2005 France Telecom repurchased all shares from Kulczyk Holding. Currently France Telecom holds 49,8% shares. Globally France Telecom's fixed and mobile services include international business offerings 166 different countries, with domestic operations in 30 countries. At the end of 2009, France Telecom Group was the world's sixth-largest communications service provider (CSP) by revenue.

Shareholders structure 2009

49,79%

46,06%

50% 40% 30% 20% 10% 0%

France Telecom Other Shareholders State Treasury

4,15%

Figure 1, Source: TP Group Annual Report 2009

Student Number 0966111

Warwick MBA Economic of Business Environment

For several years the company was the only major player in the fixed line space and the only one to have telecommunication infrastructure in place (inherited from the national monopoly). They were the only company associated by ordinary citizens with telecommunication services. Polish telecommunication infrastructure & services were very underdeveloped at that time; let me point you to the fact that only in 1991 the first e- mail was sent from Poland to Germany (in the USA it was 20 years earlier). TP S.A. has been the only company having its products and services offered nation wide. They are the largest telecommunication group in Central and Eastern Europe which consists of 12 different companies (detailed list in Appendix 1). The Group is the principal supplier of telecommunications services in Poland. It provides services, including fixed-line telecommunications services (local calls and long distance calls domestic and international), Integrated Services Digital Network (ISDN), voice mail, dial-up and fixed access to the Internet and Voice over Internet Protocol (VoIP). Through its subsidiary, Polska Telefonia Komrkowa-Centertel Sp. z o.o. (PTKCentertel), the Group is one of Polands major DCS 1800 and GSM 900 mobile telecommunications providers. PTK-Centertel also provides third generation UMTS services and services based on the CDMA technology. In addition, the Group provides leased lines, radio-communications and other telecommunications value added services, sells telecommunications equipment, electronic phone cards and provides data transmission, multimedia services and various Internet services.

Student Number 0966111

Warwick MBA Economic of Business Environment

2. Vulnerability

Analyzing short run cost will help me to define vulnerability of TP Group to external shocks from the market or from the macroeconomy. Analysis focuses on SRATC curve which include both: fixed and variable costs. All companies aim to perform at minimum level of cost (recorded as Q* on SRATC) at a certain level of output. The SRATC curve is usually U shaped either steep (like a champagne flute) or flat (like a saucer). In case of TP S.A. the SRATC is rather flute shaped. The company has large human capital costs. Companies from high tech industry like TP S.A. invest in employees development & training so they do not want to loose their employees before using the assets that is why they become quasi fixed costs. Companys cost structure is presented below for years 20092004:

TP Group Revenue External purchases Labour expenses Other operating expense Restructuring costs
Table 1 Source: TP Group Revenue Report

2009 16560 7438 2353 671 23

2008 18165 7599 2359 863 174

2007 18244 7436 2425 1012 1

2006 18625 7438 2376 889 285

2005 18342 995 2447 1111 n/a

2004 18530 1137 2653 933 n/a

The biggest portion of costs within TP Group comes from external purchases, which are costs of handsets and other equipment sold as well as commissions, advertising, sponsoring, interconnect expenses, costs related to IT and network. External purchases I would consider as variable costs as much the company would be able to sell as much they will decide to purchase from external suppliers (especially handsets). The second biggest group of cost involves workforce employed. TP Groups employees

Student Number 0966111

Warwick MBA Economic of Business Environment

are highly skilled and thus quite expensive. Other operating expenses consist of property costs taxes, fees for subscribers changes with numbers in & telecommunication Restructuring termination. SRATC for TP S.A. is rather flute shaped; the company is not so much vulnerable to external shocks as average total costs decrease dramatically if the company is forced to limit their sales. The company wants to fight vulnerability of type 1 and in 2009 introduced transformation program called Re-balance operating program. The company focuses mainly on cost optimization, economizing office space, fleet costs, restructuring mobile handset portfolio and headcount reduction. Company strategy is set to still being the main player on the Polish telecom market in terms of scope and scale; but TP S.A. wants to gain agility of much smaller company turning as many fixed costs as possible into variable costs. When considering type 2 vulnerability, of bought-in input costs there is high dependence on handset providers within TP Group. The company only resells the trading goods (mostly handsets) and does not relay on suppliers to deliver raw goods for production processes so I would conclude that TPSA is not exposed to type 2 vulnerability. Looking at table 1 costs involving purchasing of handsets (external purchases) is the biggest portion in TP cost structure. The company might limit type 2 vulnerability by setting long term contracts with handset producers, but they need telecommunication carriers as much as carriers need them. The biggest volumes of phone handsets are sold trough operators in their special offers. charges, are frequency fees, provisions. contracts

mainly

involved

employee

Student Number 0966111

Warwick MBA Economic of Business Environment

3. Exposure

3.1. Market Description

There are many types of providers that can be classified to telecommunication market. Please see the figure below.

Figure 2, source Gartner 2010

Telecom operators focus on delivering value-added services and IT services to corporate and retail customers. Gartner estimated worldwide telecommunications carrier revenue, to be $1.8 trillion in 2009. During the global economic recession, some telecom operators experienced small declines in revenue, due to customer decreasing telecom spending. On the other hand not all operators decreased the revenue as companies wanting
Student Number 0966111

Warwick MBA Economic of Business Environment

to cut down traveling cost used videoconferencing a lot. Some markets, especially the matured one, are already saturated and there are no compelling reasons for end users to purchase new fixed or mobile connection. The fixed line market decreases as customers focus shifts to mobile telephony a lot. The biggest market players, world wide have their portfolio covering all offerings (mobile, fixed, broadband etc for retail and corporate customers). In terms of revenue top players are following:

Telephone Operator
AT&T NTT Verizion Deutsche Telekom Telefonica France Telecom Vodafone China Mobile Telecom Italia BT Group Sprint Nextel
Source Gartner, 2008

Headquarter Country
USA Japan USA Germany Spain France UK China Italy UK USA

Revenue in billion $
124 102 97 90 85 75 73 59 44 40 36

In terms of revenue worldwide the biggest indisputably is AT&T, but in terms of number of subscribers is China Mobile with 450 million and it is followed by Vodafone with 300 million subscribers in 20 countries. Telecommunication markets need to be connected as they relay on each others roaming and operators need each other to maintain continuity in customer service.
Student Number 0966111

Warwick MBA Economic of Business Environment

Polish market is the biggest in Eastern Europe and has about 50 million subscribers divided between 6 main players and dozen or so smaller ones.
Fixed Line & Broadband m arket share

83% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%

36% 11%10% 8%

38%

6%

5%

3%

TP S.A.

Netia

Others

UPC

Multimedia Telefonia Dialog

Others

Fixed Line
Figure 3

Brodaband

TP S.A. as a major fixed line operator has been gradually losing market share to alternative operators, despite restructuring and constant investment. They cannot meet the operational excellence and fight smaller entities trough quality of service. Smaller players are more flexible and responsive in customer service, depending on infrastructure in many cases on TP Group though. In mobile telephony the market share represented by TP Group is similar to other mobile operators. It may vary 1% to 2% either way but market in Poland is divided into 3 major mobile carriers: Orange (TP Group), Polkomtel and PTC Era. In broadband TP S.A. is still the leader having 36% of the market.

Student Number 0966111

Warwick MBA Economic of Business Environment

M obile market share

30% 40% 30%

31%

30%

8% 20% 10% 0% 1 Orange Polkomtel PTC (Era) P4 Others 1%

Figure 4

Poland is not different than any other part of the world and here the focus also moved in recent years from fixed line to mobile. Over last five years fixed line market started to decline as presented on the picture.

mln
45 40 35 30 25 20 15 10 5 0 1998
0,9 7,6 8,8 10,2

Number of subscribers in Poland years 1998-2008

38,8 29,2 23,1 17,4 11,9 10,9 11,4 13,9 12,3 12,5 11,8

40,4

1999

6,7

9,6

11,5

11,5

2000

2001

2002

2003

2004

2005

2006

2007

2008

Mobile
Figure: 5

Fixed

Source: data form statistical office based on communicational institute

Commonness of mobile phones usage is increasing not only thanks to its simplicity of installation but also pricing is becoming more and more attractive. But mobile market cannon grow for ever; the market is pretty saturated already. Analytics like Gartner were already telling in 2009 that Polish market is saturated at the level of 109%, where in 2010 it grew
Student Number 0966111

10

Warwick MBA Economic of Business Environment

over 120%. In Eastern Europe similar saturation is seen in Czech Republic.

Country Czech Republic Hungary Poland Slovakia Slovenia

Data from 2009

Subscribers (million) 13.3 10.2 41.9 5.7 1.9

Penetration 130% 103% 109% 105% 96%

Source: BuddeComm based on ITU and Global Mobile data

Telecommunication market it is not only about fixed and mobile operators, also cable TVs (figure 2) are gaining more and more importance on this market. Together with TV channels they offer Internet access and telecommunication services. Market is becoming very competitive and companies need to invest in infrastructure which allows quick and efficient data transmission to meet customers requirements and needs.

3.2. Customer Structure

The biggest portion of revenue is generated by retail customers within mobile and fixed lines. Fixed line revenue for 2009 decreased slightly compared to 2008 but mobile revenue slightly increased. Several years ago operators were earning profits on connections now the situation has changed and number of connections is not that important any more. What counts is a customer who pays monthly subscription. High competitive pressure is forcing operators to give free minutes to each subscription, so effectively customer pays some fixed amount each month regardless of number of calls. This was possible on Polish market thanks to UKE - market regulator imposing flat interconnection rates

Student Number 0966111

11

Warwick MBA Economic of Business Environment

between the operators. This move really freed the market and forced TP S.A. to play fair towards other operators.

TP Group Revenue Composition comparision 2009/2008

35,00% 30,00% 25,00% 20,00% 15,00% 10,00% 5,00% 0,00% Mob ile Wholesale Mob ile Retail Fixed Data Fixed Fixed Voice Sales of Wholesale Retail goods and other

2009 2008

Figure 6 TP Group Revenue Composition

Biggest TP SA competitor- Netia; revenue development by service below.

Figure 7

Student Number 0966111

12

Warwick MBA Economic of Business Environment

Netia Revenue Composition 2009- Q12010, source Netia anual reports

Netia divides its revenue to voice revenues and data revenues, which in Q1 2009 was voice 54%, data 32%. In Q1 2010 data increased to 37% and voice declined to 51%. Netia also needs to lease infrastructure from TP S.A. which in reporting is called regulated access. Revenue which is generated in Q1 2009 on regulated access is 52% and on own network 38%, where Q1 2010 accordingly 58% and 36%. This shows that without Regulator and TP infrastructure Netia would not be able to generated revenue at current volumes.

Student Number 0966111

13

Warwick MBA Economic of Business Environment

3.3. Financial Outlook

Key measure performance ratio for most companies is Return on Equity, which declined in 2009 almost 40% year over year!
TPSA (in millions PLN)
2009
Revenue Total Assets Current Liablilities Net Assets Operating Profit Sales Margin Asset Turnover Net Assets Shareholders fund Gearing Operating Profit Net Assets RONA Net Income Profit Before Tax Tax Cover Net Income Shareholders fund Return on Equity Trade Receivables Trade Payable/creditors Current ASSETS Inventories 16 560 29 356 5 222 24 134 2 096 13% 69% 24 134 16 593 145% 2 096 24 134 9% 1 282 1 597 80% 1 282 16 593 8% 1 475 790 4 189 229

2008
18 165 31 234 7 415 23 819 3 313 18% 76% 23 819 17 230 138% 3 313 23 819 14% 2 190 2 595 84% 2 190 17 230 13% 1 814 814 4 254 292

2007
18 244 32 422 11 272 21 150 3 282 18% 86% 21 150 17 773 119% 3 282 21 150 16% 2 273 3 282 69% 2 273 17 773 13% 1 795 705 3 462 1 795

2006
18 625 32 611 7 294 25 317 3 367 18% 74% 25 317 18 103 140% 3 367 25 317 13% 2 094 3 367 62% 2 094 18 103 12% 1 877 762 2 952 1 877

2005
18 342 35 624 8 694 26 930 3 781 21% 68% 26 930 17 990 150% 3 781 26 930 14% 2 620 3 005 87% 2 620 17 990 15% 2 574 1 717 4 362 245

2004
18 530 34 861 5 907 28 954 3 788 20% 64% 28 954 16 881 172% 3 788 28 954 13% 2 577 3 277 79% 2 577 16 881 15% 3 160 1 553 6 053 177

Table 2, source Annual Reports

We can see that also in terms of revenue 2009 was a challanging year for TP Group, the revenue declined 9% year over year. Financial crises do not omit such giants as TP S.A. on Polish market. RONA declined 38% yoy so it means that the profit performance declines. France Telcom and other shareholders will pay special attention in 2010 to costs cutting and maintaining only profitable parts of the holding. Comparing to other years
Student Number 0966111

14

Warwick MBA Economic of Business Environment

sales margin decreased a lot, its over 30% year over year this indicates that the company needed to decrease prices in competitive environment. The company is under the process of big restructuring as we can see labor expenses have been declining since 2004 and company incurs restructuring costs too.

3.4. Elasticity
Main factors influencing price elasticity are following: Number of substitutes available on the market Income Company Image In terms of strategic decision telco company has to make setting the prices are In telecommunication business characterized by high competitively the demand is very elastic. If one of the operators decreases its prices the consumers will switch to cheaper option. Lets look at it from different perspectives of market segment. In many cases in fixed line environment people would not like to change fixed operator. This creates problems with transcribing the number with installation of new line simply saying with some inconveniences people would not go for it if competitor offer is only slightly cheaper than the current one. But if the new company approaches potential customer offering 15% cheaper fixed line, 20% cheaper mobile connection, 50% cheaper second mobile number and broadband access for 1 Euro this will make us change the operator as this is much better offer than our current one. So we are able to bear some inconveniences to get better offer. Elasticity will be high as agreements with telecom last 12 or 24 months so people do not choose telecom operator for a lifetime. Consumers look for best offers and move.

Student Number 0966111

15

Warwick MBA Economic of Business Environment

New business models, innovative technologies and customer approach are pushing TP SA to cut prices and introduce differentiating offerings.

3.4.1. GDP and income

In 2009 the Polish economy slowed down against original government expectations of 3.7%, but reached growth of 1.7% GDP (compared to 4.9% in 2008), unemployment rate was about 11.5% at the end of the year. On the turn of the year 2008/09 more and more countries in Europe were at risk of financial crisis. Tense situation in Hungary spread uncertainty to other countries in the region. Hungary has been highly dependent on external financing; their government gross debt was at the level of 67% of GDP and budgetary deficit at 9,2% GDP. Many investors looked at Eastern Europe as one body and Hungarian situation strongly influenced Polish financial market and made investors stop buying Polish treasury bills and stocks quoted at Warsaw Stock Exchange.

1 2 0 %

Government Gross Debt (% of GDP)

1 0 0 %

8 0 %

6 0 %

4 0 %

2 0 %

0 %
Czech Rep. Estonia Lithuania Bulgaria Romania Poland Ireland EU Average Slovakia Hungary Portugal Latvia Greece Spain Italy

2 0 0 8

2 0 0 9

Figure 8

Student Number 0966111

16

Warwick MBA Economic of Business Environment

As a result of very modest GDP growth telecommunication carriers observed very cautious customers approach to adopting new services and very price sensitive behavior. Telecommunication customers did not grow subscription numbers in fixed line field (actually there was a decline shown figure 5), GDP influenced broadband growth and very modest mobile growth (due to saturation of the market).

8 7 6 5 4 3 2 1 0 2007

PL 2007-2011 GDP Growth

Signs that bottom have been reached

4cast

6,8

5,0
2008

1,8
2009

3,0
2010

3,4
2011

Figure 9, Source: The Economist 2010

1 Year WIG Info Index (WIG = Warsaw Stock Index)

No clear trend

Figure 10, Source Polish Stock Exchange

IT index has been drifting sideways, look like the financial market is in the mode look, wait & see.

Student Number 0966111

17

Warwick MBA Economic of Business Environment

3.5 Exchange rates impact

Exchange rate is important for all companies which buy products in Euro and sell in different currency. TP Group purchases handsets in Euro and sells in local currency. In 2009 foreign exchange rates did not favor the Polish zloty, which weakened significantly against the Euro. This had a significant impact on TP Group cost base and capex, primarily due to the increased cost of importing mobile handsets. Exchange rate has similar influence on competitors as all of them buy handsets from international companies like Nokia, Siemens, and Blackberry etc in foreign currencies.

Figure 11, Source Yahoo

3.6 Government Intervention

TP Groups operations are subject to regulatory controls of UKE, the government telecommunications Act, UKE can market impose regulator. certain Under obligations the on Telecommunication is responsible for In 2009 TP S.A. signed a Memorandum of Understanding with the President of the Office of Electronic Communications. For TP, it creates a
Student Number 0966111

telecommunications companies that have a significant market power. UKE

18

Warwick MBA Economic of Business Environment

more predictable and investment-friendly regulatory environment, so far there was a threat over TP that they would have to split its Retail and Corporate business as the Regulator perceived them us highly monopolistic and ruining the fair competition on Polish market. The agreement improves the perspective for infrastructure development on the Polish telecommunication market and stimulates fair competition. Based on this arrangement, TP Group have launched a country-wide investment program in 1.2 million broadband access lines, including roughly 1 million lines with speed of at least 6Mbps.

Student Number 0966111

19

Warwick MBA Economic of Business Environment

4. Conclusion & outlook

Economic downturn of 2008/09 affected telecom industry to a lesser extent than financial institutions but in TP SA case almost overall performance really dropped. First of all revenue dropped around 9% and that influenced all important ratios like RONA, ROE, Sales Margin. TP S.A. was pushed to cut its cost and optimize its business. In IT space where I have experience in dealing with TP SA one of the major strategies to meet cost optimization target was implementation of so called vendor consolidation program. From as many as 50 different vendors the company was dealing with, it limited the number to 7 each company being responsible for main systems like: billing, ERP, OSS, CRM, Wholesale. Although the revenue declined year over year TP Group is undisputable leader in telecommunication market in Poland having its portfolio offered nation wide. The above analysis show that the only space where other players can compete fairly is mobile business, where each of the main player has about 30% of the market. In fixed lines the company behaves like a monopolist and in and broadband they also play leading role. As their power is really big and they can compete unfairly that is way Government intervention was needed to stop their monopolist way of approaching the market. As we look at coming years I would strongly recommend to keep decreasing the cost and restructuring the company, obey all rules given by the Regulator to avoid paying substantial fines. Also to maintain development of broadband channel as this is the place where market will grow, as we saw above fixed line segment is declining and mobile market is quite saturated.

Student Number 0966111

20

Warwick MBA Economic of Business Environment

5. Appendix

5.1 Entities of TP Group:

The Group comprises Telekomunikacja Polska and the following subsidiaries:

1) PTK-Centertel Sp. z o.o. Warsaw, Poland Mobile telephony services, construction and operation 100.00% , 100.00% of mobile telecommunications networks. 2) TP EmiTel Sp. z o.o. Krakw, Poland TV and radio signals broadcasting, construction, 100.00% lease and maintenance of technical infrastructure 3) OPCO Sp. z o.o. Warsaw, Poland Facilities management and maintenance. 100.00% 4) Otwarty Rynek Elektroniczny S.A. Warsaw, Poland Provision of complex procurement solutions, including advisory, implementation 100.00% and operation of e-commerce platform and IT systems, hosting. 5) TP Edukacja i Wypoczynek Warsaw, Poland Hotel services, training and conference facilities. 6) TP MED Sp. z o.o. (1) Warsaw, Poland Medical and health care services. 100.00% 7) TP Invest Sp. z o.o. (TP Invest) Warsaw, Poland Services for Group entities, holding management. 100.00% 100.00% 8) Telefon 2000 Sp. z o.o. Warsaw, Poland No operational activity. 100.00% 9) TP TelTech Sp. z o.o. d, Poland Monitoring of alarm signals, servicing telecommunications networks, 100.00% design and development of telecommunications systems. 10) Telefony Podlaskie S.A. Sokow Local provider of fixed-line, internet and cable TV services. 55.11% Podlaski, Poland 11) Contact Center Sp. z o.o. (2) Warsaw, Poland Call-center services andtelemarketing. 100.00% 100.00%

Student Number 0966111

21

Warwick MBA Economic of Business Environment

12) Virgo Sp. z o.o. Warsaw, Poland Advisory services, financial operations. 100.00% 13) Pracownicze Towarzystwo Warsaw, Poland Management of employee pension fund. 100% Emerytalne Telekomunikacji Polskiej S.A. 14) Fundacja Orange (3) Warsaw, Poland Charity foundation. 100.00% 15) Wirtualna Polska S.A. (WP) Gdask, Poland Internet portal and related services including internet advertising. 100% 16) TP S.A. Finance B.V. Amsterdam, Financial and investment operations. 100.00% The Netherlands 17) TP S.A. Eurofinance B.V. Amsterdam, Financial and investment operations. 100.00% The Netherlands 18) TP S.A. Eurofinance France S.A. Paris, France Financial and investment operations. 99.99% 19) PayTel S.A. (1) Warsaw, Poland E-commerce and electronic services, including GSM prepaid services, 100.00% bill charging and processing of electronic financial transactions. 20) PayTel Sp. z o.o. (4) Warsaw, Poland As at 31 December 2009 the entity no longer exists. 100.00% 21) Ramsat S.A. (1) Modlnica, Poland Distributor of PTK Centertel and TP S.A. products on mass and business market. 100.00%

Student Number 0966111

22

Warwick MBA Economic of Business Environment

5.2 Key players in telecom market in Poland

Number of subscribers Market Share

Company

Ownership Fixed Line France Telecom 49,79% Third Avenue Management 24,1%

TP S.A. Netia Others

8,2 1,1

83% 11% 5%

Mobile Orange Polkomtel PTC (Era) P4 Others Broadband TP S.A. Netia UPC Poland Multimedia Telefonia Dialog Others France Telecom 49,79% Third Avenue Management 24,1% UPC 100% Emerging Ventures 55,9% KGHM 100% 2,3 0,6 0,5 0,3 0,1 36% 10% 8% 5% 3% 39% TP S.A. 100% Vodafone, Orlen, KGHM (all 24,4%) T-Mobile Germany 70,5% Novator 49,7% 13,8 13,7 0,1 3,7 31% 31% 30% 8% 1%

Student Number 0966111

23

Warwick MBA Economic of Business Environment

6. References Books
Begg D. and Ward D. (2009) Economics for Business(3rd ed.) Begg,D. et al (2008) Economics (9th ed)

Publications
http://www.tp-ir.pl/Display.aspx?MasterId=56fab1d5-b143-49cd-b44a537193c91052&NavigationId=871 http://investor.netia.pl/ http://www.polkomtel.com.pl/english/dzialalnosc_biznesowa/ http://www.sse.lodz.pl/en/node/392 https://w303.ibm.com/sales/competition/compdlib.nsf/41b3dc2211cc2f6ac12566a20025 9ba4/45a1c8a020831aa285257816006898b7/$FILE/M08S.pdf https://w303.ibm.com/sales/competition/compdlib.nsf/41b3dc2211cc2f6ac12566a20025 9ba4/4a8e0df984914279852577500048efec/$FILE/market_insight_telecom_indus_1743 73.pdf https://w303.ibm.com/sales/competition/compdlib.nsf/41b3dc2211cc2f6ac12566a20025 9ba4/c6618762c0c32dc3852577d5007b24eb/$FILE/vendor_rating_france_telecom_2072 42.pdf https://www.budde.com.au/Research/2008-Europe-Telecoms-Mobile-and-Broadband-inCentral-Europe.html http://www.imf.org/external/pubs/ft/weo/2010/01/index.htm http://www.economist.com/ http://www.gpw.pl/ http://finance.yahoo.com/ http://www.en.uke.gov.pl/

http://epp.eurostat.ec.europa.eu/portal/page/portal/statistics/themes http://www.parkiet.com/artykul/1010572_TP---grupe-moze-opuscic-3-3-tys--osob.html http://gielda.wp.pl/kat,7069,title,TP-ocenia-dzialania-DPTG-jako-probe-nieuzasadnionegowywierania-nacisku,wid,13049115,wiadomosc.html

Student Number 0966111

24

Warwick MBA Economic of Business Environment

http://gospodarka.dziennik.pl/news/artykuly/318558,dunska-firma-prosi-niemcow-opomoc-w-walce-z-tp.html http://online.wsj.com/article/BT-CO-20110120-702695.html http://www.playmobile.pl/pl/oferta/play-abonament/index.html http://www.era.pl/pl/strona_korporacyjna/o_ptc http://www.multimedia.pl/multiprojekty http://biznes.upc.pl/ Business Monitor, Poland Telecommunications Report Q1 2010 Gartenr, Vendor Rating: France Telecom, November 2010

Student Number 0966111

25