Competition toughened Cable & Wireless
tribune242 editorial
YESTERDAY'S Gleaner reported that Cable & Wireless Jamaica, trading as LIME Jamaica, "continued its financial haemorrhaging in the December quarter, posting a $1.3 billion loss for the three-month period, nearly triple the $351.4 million of a year earlier."
Despite this its managers continue to look on the bright side, insisting that they are on the verge of turning the company around.
According to The Gleaner, Jamaica LIME has been in "retreat for the past decade since it lost its monopoly in Jamaica's telecommunications market."
"That's what happens to monopolies," said a Bahamian who is close to the situation. LIME Jamaica was doing the same foolishness as BTC because it felt secure in its monopoly, he said, then Digicel, an Irish company with dirt cheap rates, came in and ran it out of business.
It was this lesson from fierce competition that forced Cable & Wireless into the efficient company that it is today with Digicel waiting in the background to meet it head on in the Bahamas when the floodgates are open to competition.
One can now understand why the Bahamas government has offered and C&W - having learned from its Jamaican experience -- has accepted the three-year protection cover from monopolies for BTC's cellular service.
If it were not for this three-year period to build BTC up to meet competitors, the Bahamas' Telecommunications Company would crumble under the strain. C&W, on the other hand, although stumbling in Jamaica is prospering in Barbados and Trinidad.
But there is no room for hubris. There is much to be done to get BTC in a position to meet the competition, and for three years the BTC staff, who are interested in their company, will have an opportunity to prove that they are not among those who deserve to be made redundant.
In an interview with the Jamaican Observer last year, Digicel CEO Colm Delves, said that Digicel looked at the Bahamas, but was not interested in just having a stake in BTC, and so it decided "to pass on that."
"What was being offered there was a stake in the existing operator," said Mr Delves. "We think that when liberalization takes place there, then that will be the appropriate time to enter that market."
So in three years time Digicel and others might be the wolves at the door. Cable & Wireless will have to have BTC ready to meet the challenge and regardless of what Mr Evans, Mr Carroll and their unionists claim, they are babes in the woods, ignorant of the hungry sharks waiting in the world of competition to devour them and BTC.
Judging from the various polls, street talk and radio talk shows, the majority of Bahamians approve the sale of BTC to C&W.
They want better service, more choice, cheaper cell phone rates, access to mobile TV and the ability to phone the Family Islands as a part of the Bahamas, not as foreign islands with overseas charges.
Bahamians are weary of the oft-repeated fiction that they own BTC. Ownership implies having some stake in the company. Although as tax payers they underwrite staff salaries, they cannot even demand good service.
With the sale of BTC Bahamians will eventually be able to buy shares in the company and have share certificates to prove that finally they do own a piece of BTC.
Although Bernard Evans, BCPOU president, claims that unionists are against the sale of BTC, there are unions that have refused to join in his protest.
Many are particularly upset after his reckless threats promising unrest similar to the violence in the past few weeks in Egypt.
Mr Evans has asked Bahamians to have patience with BTC because the public's services "will be affected somewhat" because of the union protest.
Mr Evans seems to forget that Bahamians have exercised years of patience, grudgingly tolerating their high prices and indifferent service.
Now that Bahamians see a way out and a deliverer on the horizon, they are ready to jump ship.
Patience is at an end.
February 14, 2011
tribune242 editorial
A political blog about Bahamian politics in The Bahamas, Bahamian Politicans - and the entire Bahamas political lot. Bahamian Blogger Dennis Dames keeps you updated on the political news and views throughout the islands of The Bahamas without fear or favor. Bahamian Politicians and the Bahamian Political Arena: Updates one Post at a time on Bahamas Politics and Bahamas Politicans; and their local, regional and international policies and perspectives.
Showing posts with label cellular service Bahamas. Show all posts
Showing posts with label cellular service Bahamas. Show all posts
Monday, February 14, 2011
Wednesday, December 15, 2010
Consumer Voices Bahamas (CVB) defends Cable & Wireless Communications (CWC) acquisition of Bahamas Telecommunications Company (BTC)
New consumer advocacy group defends BTC acquisition
By Stewart Miller
Guardian Business Reporter
stewart@nasguard.com
A new voice is crystallizing to ensure that consumers do not go unheard beneath the roar of politicians, employees and unions over the sale of 51 percent of the Bahamas Telecommunications Company (BTC) to Cable & Wireless Communications.
Officials of the new consumer advocacy group Consumer Voices Bahamas (CVB) chose historic Fox Hill Park to present themselves and their case to The Bahamas yesterday, defending CWC’s acquisition of BTC as being best for Bahamian consumers.
“We believe... that as the employees are important to this, the consumers are equally important to the sale of BTC,” Marlene Minus, chairperson of CVB said. She added that it is the consumers “who are paying the high prices for cellular services, who are experiencing the inconsistencies in their service, and in some cases experiencing disruptions in both their cellular and their Internet service.”
CVB is prepared to use the Internet, other forms of media, public meetings and demonstrations to tout the consumer benefits related to BTC having an international strategic partner, according to Minus. She also said that CVB would not be intimidated from their declared purpose to promote and advance the interests of the Bahamian consumer.
“Should this initiative be met with conflict, slander or disdain from union members or union leaders, we understand that, we respect that and in some cases we expect that,” the chairperson said. “But we are not afraid. We are consumers, we are Bahamians, and we believe we have a voice. So we are here to say that from a consumer perspective we believe this is good.”
Minus said that its managerial and technical expertise, along with Cable & Wireless’ international connections, would ensure better and more reliable services and would result in cheaper rates for cellular service, land lines and overseas calls.
Treasurer for CVB David Jordine told Guardian Business that the organization has no political ties or association, but was born out of the need to protect the interests of Bahamians.
“Based on the information that has been made public thus far it seems as if the consumer is being left out of the debate,” Jordine said. He added that a lot of politics and personalities are in the fray, but households, consumers and businesses that are affected should not be forgotten.
“When we mention consumers we also have to realize that a large base of our consumers is the business community,” said Jordine. “The Bahamas strives on tourism and the financial industry and the demand for communications in those sectors is vital to the bottom line, so it’s highly important that they take them into consideration because they represent the lifeblood of this country’s economy.
“We recognize that BTC and the employees of BTC have been doing a wonderful job and we want to express our appreciation to them, however for the customer, it’s cheeper, quicker, better -- that’s the initiative.”
The advocacy group reports membership of about 30 to 40 people presently. Minus said that a research and investigations team has already been formed to go into business houses and report findings back to the organization.
Although the BTC privatization was the genesis of CVB’s formation, Jordine said that the organization will not be limited to that issue.
“This group wishes to speak on behalf of consumers about any industry where we think that the consumer could get a more efficient service, a better price to meet thier needs,” Jordine said. Bahamians who support their position, or have any other ideas or comments are invited to contact the CVB by e-mail at cvb@hotmail.com.
CVB reported that it’s already at work investigating claims that some car repair businesses are gouging customers who are attempting to make sure their seat belts are functioning because of the enforcement of seat belt laws.
12/15/2010
thenassauguardian
By Stewart Miller
Guardian Business Reporter
stewart@nasguard.com
A new voice is crystallizing to ensure that consumers do not go unheard beneath the roar of politicians, employees and unions over the sale of 51 percent of the Bahamas Telecommunications Company (BTC) to Cable & Wireless Communications.
Officials of the new consumer advocacy group Consumer Voices Bahamas (CVB) chose historic Fox Hill Park to present themselves and their case to The Bahamas yesterday, defending CWC’s acquisition of BTC as being best for Bahamian consumers.
“We believe... that as the employees are important to this, the consumers are equally important to the sale of BTC,” Marlene Minus, chairperson of CVB said. She added that it is the consumers “who are paying the high prices for cellular services, who are experiencing the inconsistencies in their service, and in some cases experiencing disruptions in both their cellular and their Internet service.”
CVB is prepared to use the Internet, other forms of media, public meetings and demonstrations to tout the consumer benefits related to BTC having an international strategic partner, according to Minus. She also said that CVB would not be intimidated from their declared purpose to promote and advance the interests of the Bahamian consumer.
“Should this initiative be met with conflict, slander or disdain from union members or union leaders, we understand that, we respect that and in some cases we expect that,” the chairperson said. “But we are not afraid. We are consumers, we are Bahamians, and we believe we have a voice. So we are here to say that from a consumer perspective we believe this is good.”
Minus said that its managerial and technical expertise, along with Cable & Wireless’ international connections, would ensure better and more reliable services and would result in cheaper rates for cellular service, land lines and overseas calls.
Treasurer for CVB David Jordine told Guardian Business that the organization has no political ties or association, but was born out of the need to protect the interests of Bahamians.
“Based on the information that has been made public thus far it seems as if the consumer is being left out of the debate,” Jordine said. He added that a lot of politics and personalities are in the fray, but households, consumers and businesses that are affected should not be forgotten.
“When we mention consumers we also have to realize that a large base of our consumers is the business community,” said Jordine. “The Bahamas strives on tourism and the financial industry and the demand for communications in those sectors is vital to the bottom line, so it’s highly important that they take them into consideration because they represent the lifeblood of this country’s economy.
“We recognize that BTC and the employees of BTC have been doing a wonderful job and we want to express our appreciation to them, however for the customer, it’s cheeper, quicker, better -- that’s the initiative.”
The advocacy group reports membership of about 30 to 40 people presently. Minus said that a research and investigations team has already been formed to go into business houses and report findings back to the organization.
Although the BTC privatization was the genesis of CVB’s formation, Jordine said that the organization will not be limited to that issue.
“This group wishes to speak on behalf of consumers about any industry where we think that the consumer could get a more efficient service, a better price to meet thier needs,” Jordine said. Bahamians who support their position, or have any other ideas or comments are invited to contact the CVB by e-mail at cvb@hotmail.com.
CVB reported that it’s already at work investigating claims that some car repair businesses are gouging customers who are attempting to make sure their seat belts are functioning because of the enforcement of seat belt laws.
12/15/2010
thenassauguardian
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