Anna Yegorova

An evaluation of SBA Communication’s current standing through an internal analysis, analyzing strengths and weaknesses of the company, and through an external analysis, analyzing opportunities and threats of the industry. The tower segment of the Integrated Telecommunications Services sub sector of Telecommunications Services Industry is a tight oligopoly with high barriers to entry along low bargaining power of buyers, allows incumbents to ultimately capture the value of the industry. The data… Show more

An evaluation of SBA Communication’s current standing through an internal analysis, analyzing strengths and weaknesses of the company, and through an external analysis, analyzing opportunities and threats of the industry. The tower segment of the Integrated Telecommunications Services sub sector of Telecommunications Services Industry is a tight oligopoly with high barriers to entry along low bargaining power of buyers, allows incumbents to ultimately capture the value of the industry. The data shows the Tower segment will benefit financially due to the inelastic socio-cultural trend of constant connectivity causing a major increase in data usage and connected devices. SBAC has the opportunity to expand towers and wireless technology services domestically to increase market share and returns to achieve economies of scale. American Tower Corporation and Crown Castle International are SBA Communication’s most direct competitors. SBA Communications lags behind the current market leaders, American Tower and Crown Castle due to having the least number domestic presence and tenants which contributed to the success of the tower segment of the ITS industry.SBAC, lacks an essential core competency needed to improve their strategic position within the industry, such as a widespread coverage indicated with the number of towers and lack of capacity indicated by their lack of DAS networks or innovative technology. Due to SBAC’s current weak financial position relative to its competitors, it is evident that they also lack in competitive advantage.

Recommendations include:
• Firing and employing new CEO and CIO.
• Retrench on expansion and reinvest line of credit for a new R&D department.
• Use new R&D department to combine efforts with Alcatel Lucent’s lightRadio product to SBAC’s technological capabilities and create core competency.



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