Role of Market Behavior Understanding in Technological Innovation of Product (Case Study : Indonesia Telecommunication Industry)  

Oleh:

Suhendra, Agus Achmad

Jenis: Article from Proceeding
Dalam koleksi: Industrial Engineering Conference on Telecommunication 2010 "Membangun Kekuatan Industri di Indonesia pada Era Pasar Bebas (ACFTA / WTO)", Bandung Juni 2010, page 176-178.
Topik: Telecommunication; Market; Manufacturer
Fulltext: Role of Market Behavior Understanding in Technological Innovation of Product.pdf (225.02KB)

Isi artikel

Telecommunication service industry in Indonesia has been being highly attractive. Population of Indonesia about 300 million people and the subscribers were 180 million on August 2009, or more than 50% of population. Annually, growth of Indonesia telecommunication service industry was about 50%. The situation has motivated a lot of telecommunication players nationally or internationally to enter and compete in Indonesia market. Singapore Telecom, Malaysia Telecom, Saudi Telecom, Qatar Telecom, Hong Kong Telecom are some examples of new foreign telecommunication service players in Indonesia. This highly attractive situation also has motivated a lot of telecommunication handset manufacturers all over the world to enter Indonesia market. Nokia, Siemens, Samsung, LG, Sony Ericsson, Motorola, Blackberry are some examples of such manufacturers. Finally, market of telecommunication handset in Indonesia becomes more competitive time to time. In 1990s market leader of telecommunication handset industry was dominated by Motorola but in the early of year 2000 market leader was replaced by Ericsson. For recent years the leader has been being handed by Nokia. It was not easy for Telecommunication manufacturer even Nokia to win competition in Indonesia and dominate market for recent years. They have to enhance their ability to understand Indonesia market behavior continuously besides developing technological innovation on their product as competitive advantage. Indonesia market was relatively unique than other market. This uniqueness caused many unexpected behaviors as anomaly in telecommunication market in Indonesia. Nokia as the leader was relatively more effective to scan this situation and that why Nokia could dominate Indonesia market for recent years. Nowadays Nokia is facing big challenge by contender from Canada, Blackberry. It has been taking some share of Nokia in premium segment. This paper described rise and fall of Nokia and other telecommunication manufacturer to compete and dominate Indonesia market. From this research, I concluded that to win competition and dominate Indonesia market, each telecommunication manufacturer in Indonesia not only had to develop technological innovations, on their product but also they had to scan market behavior continuously for making good understanding of market.

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