An industry can be defined as “a set of organisations that produce similar products or services, using similar technologies and sell these into similar markets.” Essay

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An Industry Comprises a Set of Business Organisations that is directly competing with one another. Every Industry has its appropriate boundaries and business environment. There are some main issues impacting on the industry at that point in time. Here we have taken in account Ofcom, the telecommunication company in UK for our consideration. We have shown Ofcom’s Business sector and enviroment,  developed a rationale for it’s boundaries, it’s broad nature, the main issues impacting on this industry and 10 sources in order to further  evaluate.

Ofcom is the largest organization in the sector of mobile telecommunication industries in UK and it established for developing high quality communication services.  Telecommunication business is the important part of UK economy. Ofcom perform various research works and its vital role to monitor telecommunication services and understand large business.  According to latest information of National Statistics that there are 7,700 large businesses in the UK.  Ofcom identify how the large business community uses the mobile telecoms, fixed line telecoms and advanced data services.

1.                  Ofcom reviewed the regulation of premium rate services (PRS) and carried out a report between August to November, 2004. PRS developed a service via telephone lines like chat lines, logo downloads, mobile phone ring tone, interactive TV games, competitions, TV vote lines, technical help lines, scratch cards etc. and with call costing £1.50 per minute from BT network. Consumers welcomed majority of PRS and generate considerable benefits. This increased the growth of PRS industry and national revenue of UK. But after a few months problems involving the use of PRS mislead and defraud consumers, not only that the consumers have incurred unfairly call charges.

Ofcom has not found any solution for this issue faced in PRS industry. Ofcom failed to find out any ‘quick fix’ for this issue and recognize a number of problems in the PRS industry. However, Ofcom does not believe that this is the stage to alter the current self and co-regulatory approach. Ofcom developed a package of recommendations of interlinked to improve the PRS regulation within the existing framework, so that consumer confidence restore in the PRS industry.

To overcome from this situation, intensive work and close cooperation between ICSTIS, Ofcom, and DTI is required. One of the key recommendations may be creation of a Steering Committee to oversee the process of implementation. When the process will be completed then it will be necessary for all parties to keep the development of industry under close review and to ensure the regulatory regime can be developed in the industry.

Ofcom and ICSTIS should take the lead in encouraging Originating and Terminating Communications Providers. It will produce a voluntary code of practice covering traffic monitoring and information sharing. This arrangement will enable ICSTIS to identify potential breaches of Code of Practice as rapidly as possible.

2.            Ofcom perform as the independent regulator and competition authority in UK mobile telecommunications industries to monitor radiao, television, wireless communications services and telecommunications.  Ofcom is the largest organization and it established for developing high quality communication services.  Telecommunication business is the important part of UK economy. Ofcom perform various research works and its vital role to monitor telecommunication services and understand large business.  According to latest information of National Statistics that there are 7,700 large businesses in the UK. Ofcom identify how the large business community uses the mobile telecoms, fixed line telecoms and advanced data services.

      The Ofcom Board forms with with a Chairman, four Executive Directors including Chief Executive Officer. It has also five Non-Executive Directors.

Ofcom ensure the optimal use of the electro magnetic spectrum, wide range of electronic communications services including high-speed data outgoing services. Ofcom maintain the provision of broadcasting and adequate protection for audience against offensive and harmful materials. Ofcom also ensure wide range and high quality TV/Radio services and adequate protection of infringement privacy and unfairness

Ofcom will intervene specific statutory duties towards public policy goal and regulate a clearly articulated and public reviewed annual plan with policy objectives. Ofcom researches markets constantly to remain the technological understanding and consult widely with relevant stakeholders and assess the impact of regulatory action.

For easy understanding to the people, Ofcom incourage the communication industries to provide accurate information. Ofcom provide guides to explain other phone companies of their services and creates the competition in the telecoms markets that means people can chose best phone services.  Different phone companies offers different packages and prices will very for rental calls and extra services, so people can able to get a better deal.

Ofcom play a roll of improving information flows between suppliers and consumers.  Ofcom developed the consumer advice section at the website in 2006 containing advice of easy use of protection related issues and communications services.

3.      Followings may be considered as suitable and high quality source materials:

a)     The key role of Ofcom would be to bring interested parties together to maximizing the efforts for promoting media literacy

b)      For achieving the goals, develop an evidence base research to identify the issues to direct work and progress.

c)      Conduct research to begin answer of questions regarding policy in consultation with other interested parties. The research will focus a greater understanding of media literacy in the society, in all groups like young people, older people, and children. It will identify in which section Ofcom needs to focus.

d)     People’s attitudes and expectations need to be considered for listening and viewing materials. To reduce the chance of causing harm or offense, a better understanding people’s attitude is important

e)      Try to identify potential barriers and use of effective tools on the platforms of mobile Internet.

f)       Add the value to existing media literacy activity. Advice and guidance to the direct people concerning new communications technologies. Ofcom should have an immediate impact raising the media literacy.

g)      In relation to critical viewing there are many projects and initiatives in education where to add our knowledge and understanding. Ofcom can promote the initiatives and encouragement.

h)      Explore the barriers of media literacy. We need to know what physical, social, technical, or economic barriers exist and identify which stakeholders are best placed and which sectors of society are in risk. To overcome the barriers we require delivering solutions.

i)        Ofcom may contribute to research initiated by others that will develop understanding key areas. This will make a valuable contribution to understanding the higher order levels of skills related to critical viewing

j)        Find out the barriers people faced to become more media literate. Response to the questions that was asked for the opinion on the skill in different sections of society and it also may include who are excluded from the benefits of the new communications technologies.

k)      Ofcom may direct the people for guidance and advice on an issues related to communications technologies. Ofcom may encourage stakeholders to provide guidance and advice to the customers on safety and best practice particularly on information.

l)        Ofcom may encourage to create the portal and use website to facilitate the works.

m)    Ofcom can encourage the industry for a specific output and facilitate important progress in achieving the vision and empowering citizens and consumers

n)      Some long term running studies and research may change people’s attitudes and expectations in different platforms such as location based services, personal video recorders, 3G-mobile internet access

o)      Ofcom and its codes may protect the young and vulnerable from inappropriate and harmful content.

Ofcom improved the design of telecommunication services so that consumers can obtain information from the different aspects of communications and incouraged the communication industries to provide accurate information.

Reference

1. The Journal of Industrial Economics,  (Vols. 1 – 48, 2000). JSTOR Coverage.
2. Geoff Stewart, (April 2005). Advertising Strategy. Economics of Industry, 22(4).

4. Peter Smith, (November 2003) Fair Trading in the UK. From the Press, 21(2),

4. OFCOM Web:  www.ofcom.org.uk

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