Corporate Ethics in Relation to Broadband Strategies - Coursework Example

Running head: CORPORATE ETHICS IN RELATION TO BROADBAND STRATEGIES CORPORATE ETHICS IN RELATION TO BROADBAND STRATEGIES Insert Name Insert Course Title Insert Instructor’s Name May 17, 2010 For a corporate structure to continue to survive it is significant that the administration of the big corporations should mature into a merely unbiased technocracy; harmonizing a collection of claims by a variety of groups in the social order and passing on to each a part of the profits streams on the basis of public strategy and not the private selfishness. Corporate ethics or governance is influenced by the interactions among partakers in the governance. However, what is seen nowadays is that at the substance of the shareholders norm, there is a shift such that the shareholders come out to be exercising their powers as agents of the society as a whole and not as legislative body of the markets. Corporate ethics or governance can be viewed in two main ways. The first one is that it is building resourceful means and procedures to suit the expectations of a multiplicity of people, groups and units that always correlate with the company. The second one can be viewed as building professional resources and measures to satisfy the narrower prospects of the shareholders. This is because the equity owners constantly demand a voice in corporate governance. The individual shareholders may not aim at putting into effect the authority rights but may be mainly interested in obtaining fair handling from managing other shareholders and management. Creditors acts as external monitors over company performance and play a great role in various governance systems. It is the responsibility of employees and shareholders to contribute to the long-term achievement and performance of the company. Governments also play a considerable task in establishing the broad-spectrum institutional and official composition for corporate governance. How you control the shareholders, either persons, federation alliances other corporations, can greatly affect corporate performance. Corporate governance is mainly involved in the efficient management, business efficacy and accountability of the management of public organizations for the benefit of the stakeholders. The stakeholders in an organization are the individuals as well as constituencies that contribute to its wealth-creating ability and activities therefore making them the potential beneficiaries and or the risk takers of the organization. The governance of any corporation should take care of the interests of its stakeholders. According to the social contract, organizations have responsibilities to stakeholders on top their main aim of gaining income. If by any chance an organization fails in its responsibility to enhance community life generally, then the association of business risks both financial survival and social legality. A corporate law constitutes ethical objectives and standards of behavior which legislators and the courts think are right and proper to protect within the rule of the nation (Ruddell 2004 p. 11). In Australia, there was an intensive battle relating to the broadband competitions. The main companies that were competing were Telstra and Optus. At one time Optus would employ the network in the air. The residents would demonstrate and block the ways to discontinue the aerial networks. Then the other time Telstra, another broadband company, would dig down the streets and the inhabitants would vehemently object the whole project. This led to 40% of the whole Australian homes end up being served by only three networks. These networks were copper that was in office, and serving broadband as well as a new competitor broadband network. Telstra had the intention of closing down the broadband application. Its commercial bankers sought after putting it down at a very cheap offer. Telstra managed to convince them not to bring it down so that they could retain the PSTN network. If the Telstra Company manages to overbuild Optus Broadband Corporation, it might retain the PSTN network. There was also an elite material on disburse television. This elite material could help one to differentiate the infrastructure. Through this method, consumers could manage to select infrastructure as well as the services. This would in turn lead to higher competition. This led to a collapse of one of the satellite providers in Australia due to the incurred burden of payments. There was also a kind of interaction between printed media and broadcasting in Australia (Ehlerman C. D. and Gocling ) In the year 2005, Optus proclaimed that it had gained more than 350,000 broadband subscribers. Optus network subscriber increased by 270% in the four quarters that followed consecutively as compared to the year 2004. That was the most excellent quarter of increment for the Optus-Net broadband. The achievement was as a result of the increased strength of the company’s broadband bundling strategy. This has led to more than 95%of the Optus-net DSL customers obtaining a variety of products from Opus. By entering the DSL market in 2004, Optus brought anew change in the broadband market. Due to competition in the broadband prices, the number of subscribers of Optus has continuously increased tremendously (Pan 2005. p. 10). Telstra Corporation is an information and technology services in Australia. It provides fixed line services, business services as well as internet services. It is the leading organization in the telecommunication business in Australia. There are a number of strategies that this corporation has managed to realize. In 2005, Telstra commenced its Internet Protocol (IP) network transformation target for fixed broadband services. This was followed by the declaration that Alcatel would be one of the key strategic partners in this project. This led to the two companies signing a contract under which they were to negotiate official treaties to reveal their strategic joint venture. This treaty mandated Alcatel to provide Telstra with complete network solutions as well as integration abilities. By doing this Telstra would be transformed to be a single IP-based infrastructure for the efficient delivery of services at a very low cost to its customers (Pan 2005 p. 6). However, there are challenges and threats that the company is facing from its competitors. During the same year, Telstra announced that it would partner with Ericsson Australia Pty Ltd. to develop its 3G City to country mobile network strategy under a contract. Ericsson Company would serve as the vendor in this contract. Through this joint contract, Ericsson would be able to provide a variety of service like design, construction, support and maintenance services. This 3G City to country mobile network was to be initiated year that was following (Pan 2005. p. 6). As the principal corporation in Australia, Telstra cautiously restricted the influx of broadband. This occurred when Switkowki was the CEO. It was unwavering in resisting the introduction of ULLS-based services by its contestant as well as suppressing broadband takes up by the customers. Here ULLS was a form of a threat to Telstra. The government’s intervened taking the form of ACCC. It viewed ULLS as more powerful than Telstra and broke the monopoly by driving broadband take up by customers. ULLS became a big threat to Telstra and every time ACCC makes a price ruling on ULLS, this would be a bad news to Telstra (Fletcher 2007. p. 79). There are some challenges that these companies have been undergoing while implementing these strategies. It is good to look at how this company is affected by its ethics and what can be done. The people who implement strategies are mainly the key to an organization’s long-term prospects. When accessing the pressures and opportunities of an association, it is suitable to have proportions that will be used to administer the strategy uncertainty. There are questions that come into the mind when we talk of strategies. Is the human resource management in ability to support both current and future strategies? In the case of recruitment, do the new staffs match with the strategic plans of the company? There should be an internal analysis of the management of the company so as to identify the threats and opportunities that face the company. Threats can assume the form of strategic problem or a liability. Any strategic problems; however bad it is needs to be addressed and corrected, even if it will be expensive. Strategic liabilities like competence need to be approached in a different manner. A business can overcome a liability by adjusting strategies in way such that the liability is neutralized (MCLoughlin and Aaker 2010. p. 109). Corporate ethics are current objectives of morality and the behavior that are deemed right and appropriate though may not have been afforded by the force of law. Ethics can also be termed as the collective and static standards of what should be done and is good. This is usually confused with the morals which are relative to situations as well as personal preferences. One of the main challenges that the society is facing is the changing of the meaning of some words. For instance, the word ‘mouse’ gained an overall new meaning at around 1980 after the invention of the graphical user interface (GUI) on computer screens as well as the input device that is used to highlight things on the screen (Ruddell 2004 p. 11). In conclusion, there should be good governance in organizations so as to properly integrate the current strategies and the new ones that are coming up due to development of technology. This requires the companies to be well equipped with enough resources to cater or accommodate the new ideas that are coming up. Good corporate ethics are very critical for both of these companies and other for them to overcome the challenges that are currently introduced by upcoming companies. Globalization is also posing a challenge to these broadband companies since technology is changing within a very short time. References: Ehlerman C. D. and Gocling L. 2000. European competition Law annual 1998: Regulating Communications Markets. Hart Publishing. From: http://books.google.co.ke/books?id=ZnJ_MlTEGdYC&pg=PA296&dq=broad+band+strategies+in+optus&client=firefox-a&cd=8#v=onepage&q&f=false (accessed May 17, 2010). Fletcher P. 2009. Wired Brown Land: Telstra’s battle for broadband. Australia. Univesity of New South Wales Press Ltd. From. http://books.google.co.ke/books?id=Xu9gAOuFbDgC&pg=PA78&dq=broadband+strategies+in+telstra&hl=en&ei=eDHqS9qyKYGglAeW4omPCw&sa=X&oi=book_result&ct=result&resnum=4&ved=0CEcQ6AEwAw#v=onepage&q=broadband%20strategies%20in%20telstra&f=true (accessed May 13, 2010). McLoughlin D. and Aaker D. A. 2010. Strategic Market Management: Global Perspectives. New Jersey. John Wiley and Sons. From. http://books.google.co.ke/books?id=tpW22FvYvn8C&printsec=frontcover&dq=strategic+market+management&lr=&cd=1#v=onepage&q&f=false (accessed May 11, 2010). Pan H. 2006. European Telecom. East & West. Vol.10. No. 10. USA. Information Gatekeepers Inc. from. http://books.google.co.ke/books?id=N3XuPJp9quoC&pg=PA16&dq=broadband+strategies+in+orange&lr=&cd=7#v=onepage&q=broadband%20strategies%20in%20orange&f=true (accessed May 14, 2010). Pan H. 2005. African and Middle Eastern Telecom. Vol.6. No. 12. USA. Information Gatekeepers Inc. From. http://books.google.co.ke/books?id=CVk_6GYz2IwC&pg=PA11&dq=broadband+strategies+in+vodafone&cd=5#v=onepage&q=broadband%20strategies%20in%20vodafone&f=true (accessed May 11, 2010). Pan H. 2005. Fiber in the loop. Vol. 17 No. 5. USA. Information Gatekeepers, Inc. from: http://books.google.co.ke/books?id=n3oJTbr0SnYC&pg=PA11&dq=broad+band+strategies+in+optus&client=firefox-a&cd=3#v=onepage&q&f=false (accessed May 17, 2010). Pan H. 2005. Fiber Optics and Communication. Vol. 28. No. 12. USA. Information Gatekeepers Inc. From. http://books.google.co.ke/books?id=KkP0LHXeaagC&pg=PA6&dq=broadband+strategies+in+telstra&hl=en&ei=eDHqS9qyKYGglAeW4omPCw&sa=X&oi=book_result&ct=result&resnum=2&ved=0CD4Q6AEwAQ#v=onepage&q=broadband%20strategies%20in%20telstra&f=true (accessed May 12, 2010). Polishuk P. 2000. Mergers and Acquisitions. USA. Information Gatekeepers, Inc. from: http://books.google.co.ke/books?id=9okI6NPMFy4C&pg=PA3&dq=broadband+strategies+in+orange&lr=&cd=16#v=onepage&q=broadband%20strategies%20in%20orange&f=true (accessed May 15, 2010). Ruddell L. 2004. Business Ethics: Faith That Works. Texas. Halcyon Press Ltd. From http://books.google.co.ke/books?id=jU2VDr62rnUC&printsec=frontcover&dq=ethics+in+a+company&hl=en&ei=dOfoS6zPD4jOMNjdsPEG&sa=X&oi=book_result&ct=result&resnum=1&ved=0CDYQ6AEwAA#v=onepage&q&f=true (accessed May 14, 2010). Turner G. and Cunningham S. 2000. The Australian TV Book. Australia. Markano Print Media Pte Ltd. From. http://books.google.co.ke/books?id=GNVemc8p1WEC&pg=PA72&dq=broadband+strategies+in+telstra&hl=en&ei=eDHqS9qyKYGglAeW4omPCw&sa=X&oi=book_result&ct=result&resnum=5&ved=0CEwQ6AEwBA#v=onepage&q=broadband%20strategies%20in%20telstra&f=true (accessed May 11, 2010). Read More

The stakeholders in an organization are the individuals as well as constituencies that contribute to its wealth-creating ability and activities therefore making them the potential beneficiaries and or the risk takers of the organization. The governance of any corporation should take care of the interests of its stakeholders. According to the social contract, organizations have responsibilities to stakeholders on top their main aim of gaining income. If by any chance an organization fails in its responsibility to enhance community life generally, then the association of business risks both financial survival and social legality.

A corporate law constitutes ethical objectives and standards of behavior which legislators and the courts think are right and proper to protect within the rule of the nation (Ruddell 2004 p. 11). In Australia, there was an intensive battle relating to the broadband competitions. The main companies that were competing were Telstra and Optus. At one time Optus would employ the network in the air. The residents would demonstrate and block the ways to discontinue the aerial networks. Then the other time Telstra, another broadband company, would dig down the streets and the inhabitants would vehemently object the whole project.

This led to 40% of the whole Australian homes end up being served by only three networks. These networks were copper that was in office, and serving broadband as well as a new competitor broadband network. Telstra had the intention of closing down the broadband application. Its commercial bankers sought after putting it down at a very cheap offer. Telstra managed to convince them not to bring it down so that they could retain the PSTN network. If the Telstra Company manages to overbuild Optus Broadband Corporation, it might retain the PSTN network.

There was also an elite material on disburse television. This elite material could help one to differentiate the infrastructure. Through this method, consumers could manage to select infrastructure as well as the services. This would in turn lead to higher competition. This led to a collapse of one of the satellite providers in Australia due to the incurred burden of payments. There was also a kind of interaction between printed media and broadcasting in Australia (Ehlerman C. D. and Gocling ) In the year 2005, Optus proclaimed that it had gained more than 350,000 broadband subscribers.

Optus network subscriber increased by 270% in the four quarters that followed consecutively as compared to the year 2004. That was the most excellent quarter of increment for the Optus-Net broadband. The achievement was as a result of the increased strength of the company’s broadband bundling strategy. This has led to more than 95%of the Optus-net DSL customers obtaining a variety of products from Opus. By entering the DSL market in 2004, Optus brought anew change in the broadband market. Due to competition in the broadband prices, the number of subscribers of Optus has continuously increased tremendously (Pan 2005. p. 10).

Telstra Corporation is an information and technology services in Australia. It provides fixed line services, business services as well as internet services. It is the leading organization in the telecommunication business in Australia. There are a number of strategies that this corporation has managed to realize. In 2005, Telstra commenced its Internet Protocol (IP) network transformation target for fixed broadband services. This was followed by the declaration that Alcatel would be one of the key strategic partners in this project.

This led to the two companies signing a contract under which they were to negotiate official treaties to reveal their strategic joint venture. This treaty mandated Alcatel to provide Telstra with complete network solutions as well as integration abilities. By doing this Telstra would be transformed to be a single IP-based infrastructure for the efficient delivery of services at a very low cost to its customers (Pan 2005 p. 6).

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