It has the advantage of first hand information to strategize into different segments in the mail market, apply low cost high quality technology to generate maximum customer satisfaction, and, as a state owned licensed operator acquire, merge, outsource, contract, invest, enter into partnerships and even establish its own bases in new regions beyond its borders.
DPWN's four divisions, viz. Mail, Express, Logistics and Financial Services are functionally diverse and encompass a range of activities that gives it the benefit of looking even beyond Europe as a global player.
The revolutionary transformation in the information and communication technology, along with globalization of economy has brought about a sea change in the mail market. The cheaper and faster mode of communication via email and SMS has emerged as the main challenge to the mail market. Their potential is enormous and they present a clear message to the current players irrespective of their size and clout, to shape up or ship out. Even at the low end, the local players have more options to choose from and more means to achieve a global reach. (Porter's Five Forces)
Merger and acquisition has made even big players jittery. So unless the big players are constantly on the move to merge or acquire they are likely to suffer the fate of goliath. Strategic alliance in new and emerging markets and good understanding of local cultural and social practices are essential to emerge as a global player. The strategy must be capable of handling shifting loyalties at the ground level and ensure customer satisfaction to achieve long term market presence. The mail market has thousands of agents in every location and they can shift allegiance whenever and wherever better opportunities come their way. It is important to maintain a robust administration and distribution system to discourage poaching and piracy.
The electronic and software technology has intensified competition and DPWN must keep abreast of developments in this field because research and upgrades in electronic and software is providing the cutting edge for corporations to continue in the forefront and stay competitive. Superior technological inputs ensure smooth and safe administrative operations, customer relations management, and attract better business prospects.
The mail market is a high volume, low cost enterprise. It falls in the category of the basic essential commodities, and as such, it is cost sensitive and ubiquitous. It has tremendous potential to diversity and synergize. Conversely, it is liable to encroachment from any quarter. As state owned entity, DPWN enjoys