Case Study Employee Owned Company - 1535 Words

Employee Owned Company TEOCO is a company owned by its employees since it was started in 1994. The firm main focus during its initial days was provision of high quality related consultancy for IT related projects. After doing business for sometimes, the company management decided to shift its business from consultancy services to development of products that focused on the world fasted growing telecommunication sector. As a result, of this strategic decision it achieved rapid growth, enabling it to be strategically placed in the niche market that has been mainly focused on.This paper seeks to provide an analysis of TEOCO’S business environment as well as strategy over the years. External Forces and Industry Conditions Impacting on the†¦show more content†¦Secondly, increased competition from large corporations also has been a major influencing external force within the telecom industry that has impacted heavily on the performance of the company. The competitor has largely affected the company business strategies and decision forcing the firm’s CEO to change some decisions concerning external financiers with an intention of remaining competitive in an ever changing business environment. Additionally, the changing industry conditions, particularly in the line of products and increased players in the industry impacted on the company’s business strategy; whereby it was forced to think about going beyond its niche market and expanding its operations in the global market. This means that the company had to accept financing from TA a venture capitalist in order to undertake the expansion process and at the same time to invest heavily in its c urrent infrastructure to gain competitive advantage. Lastly, the company performance was impacted by its decision to acquire TTI as it enabled it to enter into the global market with ease as this company had already been established in the global market. Internal Organization and Culture at TEOCO The company internal culture has been in the key to its success over