Telefnica International Business Environment Essay

Telefnica International Business Environment - Essay Example This paper illustrates that Telefonica managed to increase its customer base by 23 million, which was an increase in 8.7% compared to 2009 making up 288 million customers and by September 2013 the customer base was more than 320 million. Telefonica has managed to be among the 5 largest telecommunications operator across the globe with regard to accesses. The company operates in Europe and Latin America with its headquarters in Madrid, Spain, which makes the company have one of the largest geographic footprints for any operator because it is present in 25 nations in Europe and Latin America. Before Telefonica was established, there was a royal decree in 1884 in Spain that controlled monopoly within the telecommunications industry, which meant Telefonica was the only company capable of offering such services. However, the prevailing telecommunications market is different because it is very competitive and having many operators and choices for customers in different nations. Although, s ince its inception in 1924 Telefonica benefitted from a privileged position for a prolonged period as the monopoly in Spanish telecommunication sector, the period of monopoly came to an end in 1996 after the market was completely liberalized forcing the company to adapt to the change. In the prevailing globalized and turbulent environment, corporate social responsibility plays an essential role for companies to survive. Leadership in Telefonica values CSR as a means of managing the business while considering all stakeholders. To ensure supervision of aspects associated with corporate reputation and responsibility, the company in 2002 appointed a commission tasked with the promotion of corporate responsibility. To ensure corporate responsibility and reputation the commission adopted various goals that include promoting the development of company values and ensuring ethical and responsible behavior in the company.